Microsoft (MSFT) Tax Rate (2009 - 2026)

Microsoft (MSFT) posted Tax Rate of 19.22% for Q1 2026, down 5.25% sequentially from 20.29% in Q4 2025, and up 152.0% YoY from 7.63% in Q1 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.

  • Quarterly Tax Rate rose 152.0% year-over-year to 19.22% in Q1 2026, while the trailing twelve-month figure through Mar 2026 was 18.96% (down 1698.0% YoY) and the FY2025 annual result came in at 17.63%, down 2115.0% from the prior year.
  • Tax Rate fell to 19.22% in Q1 2026 per MSFT's latest filing, from 20.29% in the prior quarter.
  • The five-year high for Tax Rate was 20.29% in Q4 2025, with the low at 61.39% in Q2 2022.
  • Average Tax Rate over 5 years is 5.86%, with a median of 17.91% recorded in 2024.
  • Year-over-year, Tax Rate tumbled 4287 bps in 2022 and jumped 7289 bps in 2025.
  • Microsoft's Tax Rate stood at 19.24% in 2022, then dropped by 9 bps to 17.55% in 2023, then gained by 2 bps to 17.9% in 2024, then gained by 13 bps to 20.29% in 2025, then dropped 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 2,853.66 Bn 2,775.39 Bn 56.06 Bn 19.22%
2 Oracle 408.21 Bn 376.86 Bn 17.12 Bn 19.84%
3 Palantir Technologies 300.98 Bn 293.06 Bn 1.42 Bn 1.37%
4 Palo Alto Networks 247.84 Bn 243.30 Bn 1.91 Bn 21.31%
5 CrowdStrike Holdings 193.63 Bn 190.57 Bn 993.68 Mn -6.22%
6 Fortinet 117.45 Bn 114.16 Bn 1.49 Bn 18.58%
7 Cloudflare 86.88 Bn 85.93 Bn 455.60 Mn -7.01%
8 Synopsys 86.18 Bn 86.06 Bn 1.77 Bn 18.14%
9 Block 46.10 Bn 39.21 Bn 2.91 Bn 21.40%
10 CoreWeave 45.15 Bn 42.89 Bn 2.01 Bn -12.80%

Historic Data

Download Data
DateValue
Mar 31, 2026 19.22%
Mar 31, 2026 19.22%
Dec 31, 2025 20.29%
Dec 31, 2025 20.29%
Sep 30, 2025 19.11%
Sep 30, 2025 19.11%
Jun 30, 2025 16.50%
Jun 30, 2025 16.50%
Mar 31, 2025 17.70%
Mar 31, 2025 17.70%
Dec 31, 2024 17.90%
Dec 31, 2024 17.90%
Sep 30, 2024 18.51%
Sep 30, 2024 18.51%
Jun 30, 2024 -56.38%
Jun 30, 2024 -56.38%
Mar 31, 2024 17.91%
Mar 31, 2024 17.91%
Dec 31, 2023 17.55%
Dec 31, 2023 17.55%