MicroStrategy Founder Michael Saylor Agrees to $40M Settlement in D.C. Income Tax Case: NYT

MicroStrategy founder and Executive Chairman Michael Saylor has agreed to a $40 million settlement with the District of Columbia in a high-profile income tax case, marking the largest recovery of income tax fraud in the district’s history, according to the New York Times. The settlement comes after the district sued Saylor in August 2022 for allegedly evading income taxes while residing in the district. Saylor maintains his innocence and asserts that he settled to avoid the arduous process of litigation. The attorney general’s office claimed that Saylor avoided paying over $25 million in taxes by falsely claiming residency elsewhere. In response, Saylor maintained that his home is in Florida and disputed ever being a resident of the District of Columbia. Following news of the settlement, MicroStrategy’s shares experienced a 3% increase in pre-market trading.