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The Rich, The Famous, and The IRS: Why Don't They Just Pay Their Taxes?

By A. Hermitt, published Dec 15, 2006
Published Content: 1,238  Total Views: 2,132,540  Favorited By: 137 CPs
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I don't get it. I receive a letter from the IRS that says, you owe X amount that you underpaid, and I write a check. It is not always easy. Two years ago, H&R Block made a mistake that cost us $1000.00. I did not just have it lying around, but I pulled together the money and paid it. I decided that I would fight for the guaranteed correction later. I know better than the mess with the IRS. How do the rich and the famous ignore the might call of the IRS?

It appears that some just neglect to pay taxes, having expected their managers and handlers to do it for them. Others get caught up in fraudulent tax schemes and find themselves owing large sums of money long after the "CPA" is gone.

One of the most famous stars to have tax problems is Wesley snipes who fraudulently filed for a refund totaling $7,360,755.00 with the help of his CPA. Whether or not Snipes was aware he was cheating the government is unclear. Personally, I have seen this happen without the offender's knowledge.

Richard Hatch has also had to defend himself against tax-evasion charges related to his $1,010,000 payoff from Survivor: Pulau Tiga, and a radio show stint that followed. The man is a lawyer, how could he blame his tax problems on CBBS and not take the blame for himself?

Other rich and famous people who butt heads with the IRS: Willie Nelson, Dr Martin Luther King, Jr., Don King, Richard Pryor, Luciano Pavoratti, Leona Helmsley, and even Sophia Loren who spent 18 Days in an Italian Prison. The smartest thing the rich and famous can do is pay their taxes immediately, when they have the money, or they may find themselves in jail later.

Takeaways
  • Wesley Snipes was recently arrested for Tax Evasion
Did You Know?
Sophia Loren once spent time in jail for tax evasion
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