MicroStrategy's co-founder is being sued by Washington, DC for tax evasion

MicroStrategy's co-founder is being sued by Washington, DC for tax evasion ...

Michael J. Saylor and MicroStrategy, a data tracking firm founded by Saylor, are being sued by Washington, D.C., alleging that Saylor evaded income taxes while living in the district, and that the company conspired to assist him in doing so.

According to a Wednesday (Aug. 31) press release, Saylor claimed to be a resident of other jurisdictions, and that MicroStrategy failed to report his address to tax authorities or withhold and remit D.C. taxes.

In the release, District of Columbia Attorney General Karl A. Racine said that if proven, attempts to evade the District's income tax laws by falsely declaring that they reside in another jurisdiction will be investigated and held accountable.

MicroStrategy has requested a comment from List23.

According to the press release, this is the first lawsuit brought under the district's new law that encourages whistleblowers to report such incidents, allows the district to pursue those who are accused, and allows the whistleblower to collect a percentage of any monetary recovery that the district receives.

According to a company press release from Aug. 2, Saylor served as CEO and chairman of the board of directors from the time he founded the business.

MicroStrategy's crypto asset allocation and huge exposure resulted in a nearly $1 billion loss in the second quarter, equivalent to over ten times the company's second-quarter sales.

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