Michael Jackson estate in tax dispute

The estate of the late Michael Jackson is reportedly in a tax dispute with the Internal Revenue Service in the US.

The ‘Thriller’ singer’s death in 2009 has led to legal challenges within the Jackson family, including attempts to change the estate executors and questions arising over whether his will was authentic.

A new potential problem for the estate involves an IRS contention that it is owed $505 million in taxes, according to US Tax Court documents obtained by The Los Angeles Times.

The dispute is over the IRS’s claim that Jackson’s net worth was valued at $1.125 billion, not the $7 million that was allegedly reported by the pop star’s executors after his death.

Jackson’s estate could be hit with $197 million in penalties relating to the tax discrepancy as well.

There are also disagreements over the value of The Beatles’ music catalogue, which Jackson purchased at the height of his success.

A spokesperson for the Jackson estate has issued no comment on the matter yet.

The IRS problem comes just a few months after long-time Jackson collaborator Quincy Jones filed a $10 million lawsuit against the estate over music royalties.

Source: Digital Spy

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