Last August, the District of Columbia announced that it has filed lawsuits against Michael Saylor, the founder of crypto firm MicroStrategy and the company itself. The accusing party then alleged that the leader never paid income taxes in the district. This, during the more than 10 years that he lived there. The complaint also stated that MicroStrategy conspired to help Michael Saylor evade taxes. The attorney general’s office claimed that Michael Saylor failed to pay more than $25 million in district taxes. He then claimed before the judges in charge of the case, the payment of taxes due, damages, the application of civil sanctions, as well as miscellaneous costs. The court has decided.
Michael Saylor accused of tax evasion!
Since lawsuits were filed against him and his MicroStrategy, Michael Saylor has asked judges to have the tax evasion charges quashed. According to these, he did not pay income taxes, interest and penalties for several years. But in a recent decision, the court dismissed the contractor’s claim. There was therefore tax evasion, the court confirmed.
However, the court rejected the charges against the company and Michael Saylor. According to these, the two entities would have conspired to violate the False Claims Act of Washington.
This law allows accusers to sue qui tam, if they have knowledge of persons or entities, who knowingly make false statements to public services.
This second decision thus releases the responsibility of Microstrategy. Recall that the company became, last July, the largest holder in the world of bitcoins (BTC). On March 10, a new hearing will take place in the tax evasion case against Michael Saylor. This does not bode well for the businessman. He is expected to face a heavy sentence if the tax evasion charge is confirmed.
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