NY Times v. Nader

Jordan Hayes jmhayes at j-o-r-d-a-n.com
Thu Aug 3 10:36:28 PDT 2000

From dhenwood at panix.com Thu Aug 3 10:16:47 2000

>Not sure where you got this, but Cisco, like most of the tech

>powerhouses, pays a TON of federal income tax. Their last 10-Q

>says that their most recent provision for income tax was $395M for

>the quarter.


>$1.6B/year isn't "little or no" tax in my book.

It came from Bill Parish, the guy who is convinced Microsoft

is insolvent, thanks to stock options. In a recent missive,

he said Cisco was going to pay little or no tax this year.

MSFT pays even more; their largest expense is arguably federal income tax. Their latest 10-Q filed May 12 shows $3.6B if income before taxes for the quarter and a $1.2B provision for income taxes.

So we're talking $5B for the year 2000 ... that's a significant percentage of the total the IRS collects, and I wouldn't be surprised if it's the most tax paid by any corporation in this country.

MSFT has an issue vis options, but it sure does pay tax. Think about it: the cost of revenue is something like 16% for MSFT. How on earth could they avoid paying taxes?


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