Hello, is it me you’re looking for? It turns out that the IRS is, in fact, looking for Lionel Richie these days—looking for him to settle his tax bill that is. The singer failed to pay his taxes in 2010 and has been slapped with a lien that could result in a visit from the repo man.
With tax season upon us, the idea of owing more than a million dollars would throw anyone into a panic. Richie, however, reportedly owes a staggering $1.13 million in unpaid income taxes. With the ex-Commodore worth an estimated $200 million, settling his debt shouldn’t be an issue. If for some reason Richie fails to repay his back taxes in full, he may be in for a world of trouble.
According to the Internal Revenue Service, a Federal Tax lien means that the Federal government has “secured the government’s interest in your property,” essentially staking claim to any property you currently own or acquire in the future. If Richie fails to pay, this lien will appear on his credit report, causing his score to plummet. The lien also will prevent him from refinancing any loans, and more importantly for Richie, will stop him from selling any personal property.
Now that a lien has been applied, Richie has a limited amount of time to respond to the IRS. If he ignores the notices of a lien, the IRS could garnish his income or reposes his property, including his homes, leaving him without a ceiling to dance on. If he pays the debt in full, the lien will be lifted after a 30-day waiting period. Charleston taxation attorneys would undoubtedly advise their clients to pay debts and clear liens against them as soon as possible.
With plenty of projects in the works, including the upcoming reality music competition series Duets, paying his debt won’t be a problem for Lionel Richie. When he pays in full, he will avoid any further attention from the Federal government.