R. Kelly Owes Millions in Unpaid Taxes

by InvestorPlace Staff | June 15, 2012 9:13 am

R&B great R. Kelly’s woes have spilled over from the police blotter and over to the IRS.

According to Cook County documents, R. Kelly — officially Robert Sylvester Kelly — owes almost $5 million in unpaid taxes, the Chicago Sun-Times has reported[1]. The taxes have piled up for several years, with annual tax bills reaching above $1 million in 2005 and 2008, and almost hitting the million-dollar mark in 2010.

Kelly previously let his mansion in the Chicago suburb of Olympia Fields go into foreclosure, with JPMorgan Chase (NYSE:JPM[2]) suing for $2.9 million[3]. The Sun-Times

reported the house was put on the market in December for more than $1 million less than that.

The vocal star also has faced several legal problems in the past. Most notably, he faced various charges — including numerous child pornography counts — around a video allegedly showing Kelly having sex with a minor, but later was found not guilty after a number of delays. He also has served a year’s probation in 1997 for his involvement in a brawl.

A representative for R. Kelly told gossip site TMZ[4], “R. Kelly is in the process of working everything out with the government and is confident that all his obligations will be satisfied.”

The multi-platinum artist’s tax troubles come about a week after it was revealed that Grammy winner Lauryn Hill[5] owed around $2 million in federal taxes and could be facing jail time.

Kelly and Hill join a laundry list of other recent celebrity money troubles, including:

Endnotes:
  1. Chicago Sun-Times has reported: http://www.suntimes.com/entertainment/music/13185756-421/r-kelly-owes-more-than-5-million-in-unpaid-taxes-irs-says.html
  2. JPM: http://studio-5.financialcontent.com/investplace/quote?Symbol=JPM
  3. suing for $2.9 million: http://www.chicagorealestatedaily.com/article/20110712/CRED0701/110719973/r-kelly-faces-foreclosure-on-south-suburban-home
  4. told gossip site TMZ: http://www.tmz.com/2012/06/14/r-kelly-tax-lien/
  5. Lauryn Hill: https://investorplace.com/2012/06/singer-lauryn-hill-might-land-behind-bars-for-tax-dodging/
  6. Basketballer Allen Iverson Goes Bust: https://investorplace.com/2012/02/allen-iverson-celebrity-bankruptcy/
  7. Nicolas Cage Pays IRS $6.25M in Back Taxes: https://investorplace.com/2012/04/nicolas-cage-pays-irs-6-25m-in-back-taxes/
  8. Has Whitney Houston Gone Broke? : https://investorplace.com/2012/01/has-whitney-houston-gone-broke/
  9. 10 Most Embarrassing Celebrity Bankruptcies of All Time: https://investorplace.com/2012/02/10-most-embarrassing-celebrity-bankruptcies-of-all-time/
  10. Octomom Files for Bankruptcy, Reconsiders Porn Roles: https://investorplace.com/2012/05/octomom-files-for-bankruptcy-reconsiders-porn-roles/

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