The Office of the Attorney General for the District of Columbia in the United States is moving forward on a lawsuit against business intelligence firm MicroStrategy executive chair Michael Saylor related to tax evasion.<\/p>\n
According to a Feb. 28 filing with the U.S. Securities and Exchange Commission, MicroStrategy said the court had not dismissed a claim against Saylor for failing \u201cto pay personal income taxes, interest and penalties due\u201d following an October 2022 motion from the firm. However, the court granted a motion dismissing allegations that Saylor \u2014 on his own and acting in concert with MicroStrategy \u2014 violated the District of Columbia\u2019s False Claims Act.<\/p>\n
Former D.C. Attorney General Karl Racine announced a lawsuit against Saylor and MicroStrategy in August 2022, alleging the co-founder \u201cnever paid any DC income taxes\u201d and the company \u201cconspired\u201d to assist him in tax evasion. At the time, authorities said Saylor owed more than $25 million in taxes for income earned while he was a D.C. resident, but penalties from both the former chief executive officer and MicroStrategy could total more than $100 million.<\/p>\n
Racine left the Attorney General\u2019s office in January after announcing he would not seek re-election. According to the MicroStrategy filing, there will be a \u201cstatus conference\u201d on the lawsuit on March 10. <\/p>\n
\u201cThe final outcome of this matter is not presently determinable,\u201d said the filing.<\/p>\n