It May Be Hip To Hop Over IRS Tax Liens
Musicians and back taxes seem to go together like peanut butter and jelly, and rap music and R&B performers are no exception.
Rappers love to rap about money, but once they end up owing back taxes to the IRS and face multiple IRS liens, they probably start singing a different tune.
One of the most recent R&B performers reported to owe back taxes to the IRS is singer R. Kelly, known for his hit “I Believe I Can Fly.”
His back taxes stretch back years to 2005. Demanding its money, the IRS claimed that he owes a grand total of $4.8 million. That total includes two years where he owed more than $1 million.
R&B singer Lauryn Hill was also reported to owe back taxes to the IRS. An original member of rap group The Fugees, she made it big going solo. She also made a cameo on the HBO series “Entourage.”
Hill is set to go to court in late-June to face claims that she owes the IRS $1.8 million in back taxes. Will the judge be a fan of her music? Stay tuned.
Not to be left out, mega singer Lionel Richie is alleged by the Internal Revenue Service to owe $1.1 million in unpaid taxes for 2010. He later said he was informed of the resulting IRS lien and that it would be dealt with promptly.
Proceeds from his more than 25 gold and platinum records will probably go towards paying Richie’s back taxes.
But it’s not just the older artists who’ve gone delinquent on their tax bills.
Rapper Lil Wayne was on the receiving end of two IRS liens, one for just under a million dollars in 2008. The IRS also claims he owed the state of Florida about $1.1 million. Turns out he forgot to pay taxes for three years.
Rapper Young Buck made it big as a member of 50 Cent’s group “G-Unit.” But shortly after finding success, he found trouble with the IRS, leading agents to raid his home in 2010.
Buck later gave a glimpse into his seized property: his children’s PlayStation, computers, his kid’s mother’s jewelry, and home recording studio.
While the IRS will go after rappers and R&B singers for owing back taxes, you don’t have to join them onstage to get into tax trouble.
The IRS goes after tax scofflaws regardless of celebrity status. But working with a tax professional can help you find financial success.
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