Hello Craig,
You are right - Hotmail.com does support to-do lists and this is in our plan for the future versions of the tasks app.
The previous confusion comes from the fact that there are now too many wrapper web sites around the MS live accounts (live.com, outlook.com, office365.com, Hotmail.com, etc).
So in short - yes we are working on enabling you to sync your tasks with your Microsoft Account.
Kind regards,
Valentin.Stoychev
the Telerik team
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