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MicroStrategy Suddenly Has a Tax Problem, and Needs Help From Trump’s IRS - WSJ

1. MicroStrategy faces potential billions in taxes on unrealized bitcoin gains. 2. The corporate alternative minimum tax could affect MicroStrategy's finances significantly. 3. New fair value accounting rules increase reported bitcoin value on balance sheets. 4. IRS decisions on crypto gains could impact MicroStrategy's operational strategy. 5. Unrealized gains tax may force MicroStrategy to sell bitcoin to cover potential liabilities.

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FAQ

Why Bearish?

Possible tax liabilities could negatively impact MicroStrategy's stock valuation.

How important is it?

Tax implications on unrealized gains directly impact MicroStrategy's financial health.

Why Short Term?

Tax obligations could arise as soon as 2026, affecting near-term investor sentiment.

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