Microsoft (MSFT) Tax Rate (2009 - 2026)
Microsoft (MSFT) reported Tax Rate of 19.22% for Q1 2026, up 152.0% on a YoY basis from 7.63% in Q1 2025, and down 5.25% sequentially from 20.29% in Q4 2025.
Microsoft (MSFT) Tax Rate (2009 - 2026) Analysis & Trends
Microsoft (MSFT) has 18 years of Tax Rate data on file, last reported at 19.22% in Q1 2026.
- For the quarter ending Q1 2026, Tax Rate rose 152.0% year-over-year to 19.22%; the trailing twelve-month figure through Mar 2026 stood at 42.61% (down 500.0% YoY), and the FY2025 full-year result was 53.02%, down 130.0% from the prior year.
- Tax Rate fell to 19.22% in Q1 2026, from 20.29% in the prior quarter.
- In the past five years, Tax Rate ranged from a high of 46.12% in Q2 2022 to a low of 33.99% in Q2 2025.
- A 5-year average of 15.78% and a median of 18.51% in 2024 frame the typical range for Tax Rate.
- Across the five-year window, Tax Rate jumped 3470 bps in 2022 and slumped 7122 bps in 2024, its largest moves.
- Tracing MSFT's Tax Rate over 5 years: stood at 19.24% in 2022, then fell by 9 bps to 17.55% in 2023, then climbed by 2 bps to 17.9% in 2024, then climbed by 13 bps to 20.29% in 2025, then fell by 5 bps to 19.22% in 2026.
- Business Quant data shows MSFT's Tax Rate at 19.22% in Q1 2026, 20.29% in Q4 2025, and 19.11% in Q3 2025.
Peer Comparison
| # | Company | Market Cap | Enterprise Value | Gross Profit (Qtr) | Tax Rate (Qtr) |
|---|---|---|---|---|---|
| 1 | Microsoft | 2,920.72 Bn | 2,796.28 Bn | 56.06 Bn | 19.22% |
| 2 | PagSeguro Digital | 2,685.31 Bn | 2,685.31 Bn | 358.92 Mn | -12.08% |
| 3 | Oracle | 336.16 Bn | 304.27 Bn | - | -10.34% |
| 4 | Repay Holdings | 334.04 Bn | 333.89 Bn | - | - |
| 5 | Palantir Technologies | 296.67 Bn | 288.65 Bn | 1.42 Bn | 1.37% |
| 6 | Palo Alto Networks | 221.87 Bn | 217.33 Bn | 1.91 Bn | 21.31% |
| 7 | CrowdStrike Holdings | 180.59 Bn | 177.49 Bn | 993.68 Mn | -6.22% |
| 8 | Fortinet | 108.12 Bn | 104.82 Bn | 1.49 Bn | 18.58% |
| 9 | Cloudflare | 93.22 Bn | 92.27 Bn | 455.60 Mn | -7.01% |
| 10 | Synopsys | 71.83 Bn | 69.63 Bn | 1.77 Bn | 18.14% |
Historic Data
Download Data| Date | Value |
|---|---|
| Mar 31, 2026 | 19.22% |
| Mar 31, 2026 | 19.22% |
| Mar 31, 2026 | 19.22% |
| Dec 31, 2025 | 20.29% |
| Dec 31, 2025 | 20.29% |
| Dec 31, 2025 | 20.29% |
| Sep 30, 2025 | 19.11% |
| Sep 30, 2025 | 19.11% |
| Sep 30, 2025 | 19.11% |
| Jun 30, 2025 | -33.99% |
| Jun 30, 2025 | -33.99% |
| Jun 30, 2025 | -33.99% |
| Mar 31, 2025 | 17.70% |
| Mar 31, 2025 | 17.70% |
| Mar 31, 2025 | 17.70% |
| Dec 31, 2024 | 17.90% |
| Dec 31, 2024 | 17.90% |
| Dec 31, 2024 | 17.90% |
| Sep 30, 2024 | 18.51% |
| Sep 30, 2024 | 18.51% |