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Celebrities and the Taxman – Part 2

The other day, I blogged about celebrities with current tax woes. But, what of those that fell out of the good graces of the IRS in the past?

Spiro Agnew learned that being the Vice President of the U.S. wasn’t enough to ward off the IRS when they came looking for their money. In 1973, there was an investigation into Agnew’s tax payments or rather lack there of. Agnew, also under investigation for extortion, bribery, and conspiracy, pleaded guilty to one charge of failure to report income and resigned from the office.

Boris Becker tried to get out of paying the high German taxes by moving to Monaco. Too bad he kept that apartment in Munich and officials found out. His investigation lasted ten years and he finally ended up paying 3 million euros. I don’t know the euro to dollar conversion rate, but it sounds like a lot of money!

Willie Nelson found out he owed the IRS almost $17 million back in 1990. What does a good old country boy do when faced with a tax debt? Well, he tries to pay it, of course! It took Nelson only three years to pay off his tax debt.

Buster Keaton was sued for the IRS for $28,000 in back taxes. That may not seem like much, but that was back in 1932 when $28,000 was a good chunk of change. Due to career problems, money problems, divorce, and alcoholism, Keaton ended up in a sanitarium two years later.

Note to all reality show contestants – if you win, remember to report your winnings. Richard Hatch forgot and was sentenced to 51 months in jail. The good news is that he is scheduled to be released this October.

The Queen of Mean Leona Helmsley learned that the IRS was a bit more vicious than she was. You knew she was sunk after her maid quoted her in court as saying “Only the little people pay taxes.” Leona went to jail too – for 18 months.

And then, there was the ultimate takedown by the IRS. Mob boss Al Capone ruled the streets of Chicago and was named Public Enemy #1. Law enforcement couldn’t nail him to anything until the FBI’s Eliot Ness found some account information and the IRS charged Capone with tax evasion. He was sentenced to 11 years in prison. He only served 7, but it was enough to topple his stronghold on the city.