Adventures In Tax Evasion: 5 Musicians Who Couldn't Escape Uncle Sam
By Adrian Covert | MOG Associate Editor
Ah, it's April 15th again. After turning in our taxes, some of us will get money back from the IRS. Others, including most musicians (and freelance writers), have to pay the IRS money because their employers don't take money out.
Either way, the IRS notices they're being cheated, and they bring the hammer down hard. After all, they are stone-face unimpressed by fame and fortune. In honor of everyone's least favorite day, MOG breaks down the stories of five unbelievably famous musicians who tried, but ultimately couldn't escape Uncle Sam's all-seeing eye.
Prince
I imagine Prince swims around in Money for fun, Scrooge McDuck style. But that doesn't mean he likes paying taxes. The superstar eccentric (and part-time musician), was accused last month of owing over $700,000 in taxes. Filing this year's return will be the least of his problems.
Willie Nelson
In 1990, the US Government said that Willie Nelson's tax shelters weren't viable, and he owed them 32 million dollars. While you take time to consider how much you have to make to owe that much in taxes, also know that he "settled" for $16 million. In an effort to pay the IRS back, Nelson released an album titled The IRS Files: Who Will Buy My Memories?
Ron Isley
Isley was given three years in prison back in 2006 for being what the court deemed a "serial tax avoider." Despite his lawyer's best attempts to talk the court down, there wasn't much he could do to explain why Isley owed $3.1 million in back taxes.
James Brown
Mr. Soul Power himself might be the most hardcore tax avoider around. Brown basically dedicated his adult life to fighting the man, insisting that because the government didn't provide him adequate education and civil programs growing up, he didn't have to pay taxes.
Lil Kim
Lil Kim may have been a cutesy bombshell who used to work for H&R Block, but that's not enough to misdirect the IRS while you hold on to all of your money. In 2005, she was accused of owing nearly a million dollars between three different states. Various reports have stated she's since worked to pay it off, even appearing on Dancing With The Stars to help cut the costs.
BONUS:
Bono
Bono wasn't really indicted or accused of tax evasion, but given all his charity work he's done to help the poor, its pretty ridiculous that a March 2009 report (http://www.newser.com/story/52298/irish-angry-at-u2s-tax-evasion.html) revealed that the Irish superstar's publishing company keeps a lot of his money tied up in Dutch tax havens because of exemption rules. Whatever, exploit the national loopholes of the country you actually live in. But don't send all your money offshore, then beg us to save Africa.
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Comments (2)
Addendum to Bono: The Rolling Stones have been using Dutch companies as tax havens since the turn of the '70s. When their busines manager retired a couple of years ago someone did their homework and calculated that in 40 something years, the group had paid about 11% of their earnings in tax.
I wonder if they ever feel guilty as they enjoy life in a country with a crumbling infrastructure because not enough tax has been paid to keep it up to date?