What is Microsoft's deferred taxes?

Microsoft (MSFT) reported deferred taxes of $2.9B in Q1 2026.

How has Microsoft's deferred taxes changed year-over-year?

Microsoft's deferred taxes increased by 14.9% year-over-year, from $2.52B to $2.9B.

What is the long-term trend for Microsoft's deferred taxes?

Over 4 years (2021 to 2025), Microsoft's deferred taxes has grown at a 94.5% compound annual growth rate (CAGR), from $198M to $2.84B.

Microsoft MSFT Deferred Taxes

Deferred Taxes at other companies

Take-Two Interactive SoftwareTTWO

$182.3M-29.8%

International Business MachinesIBM

——

PTCPTC

——

OracleORCL

——

MongoDBMDB

——

AtlassianTEAM

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Other financials

Income statement

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Revenue$82.9B+18.3%

Gross profit$56.1B+16.4%

Operating income$38.4B+20.0%

Net income$31.8B+23.1%

EPS (diluted)$4.27+23.4%

Balance sheet

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Cash & equivalents$32.1B+11.4%

Total debt$125.43B+19.4%

Total equity$414.37B+28.7%

Total assets$694.23B+23.4%

Cash flow

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Operating cash flow$46.7B+26.0%

CapEx$30.9B+84.4%

Free cash flow$15.8B-22.2%

Valuation

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Market cap$2.82T-1.5%

Enterprise value$2.91T-0.9%

P/E22.5×-7.1×

P/S8.9×-1.7×

Profitability

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Gross margin68.3%-0.8pp

Operating margin46.8%+1.6pp

Net margin39.3%+3.6pp

Returns & leverage

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Return on equity34%+0.4pp

Debt / equity0.3×0.0×

Current ratio1.3×-0.1×

Where this comes from

Reported directly by Microsoft in its filing.

Tagged under the XBRL concept us-gaap:DeferredIncomeTaxLiabilitiesNet.

The official record: Microsoft’s 10-Q, filed April 29, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Microsoft's deferred taxes?: Microsoft (MSFT) reported deferred taxes of $2.9B in Q1 2026.
How has Microsoft's deferred taxes changed year-over-year?: Microsoft's deferred taxes increased by 14.9% year-over-year, from $2.52B to $2.9B.
What is the long-term trend for Microsoft's deferred taxes?: Over 4 years (2021 to 2025), Microsoft's deferred taxes has grown at a 94.5% compound annual growth rate (CAGR), from $198M to $2.84B.