Tax Watchdog

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Posted by Robert Snell (The Detroit News) on Fri, Aug 7, 2009 at 2:54 PM

Rap legend Hammer not too legit to quit paying taxes

MC Hammer, equal parts rap star and cautionary tale of squandered riches, is in the midst of a career resurgence with a TV show and tour that will bring him to DTE Energy Music Theatre on Aug. 14. But Hammer, aka Stanley Burrell, is coping with new money problems. Records show the state of California and IRS have filed liens against him this year totaling more than $671,000.

Hammer, 47, whose hit "U Can't Touch This" helped him sell 50 million records worldwide, famously went broke in the late 1990s despite raking in $33 million one year. He filed Chapter 7 bankruptcy in 1996.

What's owed:
  • The IRS filed a $625,792 lien against Burrell and his wife July 1 in the Los Angeles County Recorder of Deeds office.
  • The state of California filed a $12,464 lien against Burrell on June 22 in San Joaquin County Court.
  • The IRS filed a $32,926 lien against the couple on May 18 in the San Joaquin court.

The address listed on each lien is for this home in Tracy, Calif.:


View Larger Map

And here's where he used to live, before the money problems:


View Larger Map

His side:

Hammer's publicist declined comment today but said she forwarded an e-mail to the rapper. He did not respond.

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About this Weblog

Robert Snell of The Detroit News

Who owes taxes in Metro Detroit

Robert Snell is a Detroit News business reporter. He focuses on state and federal tax liens and, based on public records, interviews and Detroit News archives, identifies those who don't pay income, business and property taxes. He can be reached at rsnell@detnews.com or (313) 222-2028.

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Why we focus on unpaid taxes

Every year, about $345 billion in federal taxes are either late or unpaid, according to the IRS, ripping open holes in budgets and shortchanging schools and public safety. That forces taxpayers to cough up more than their fair share, tax experts say. About $2.5 billion went uncollected in Michigan between 2000 and 2006.

Liens are filed when taxpayers ignore government pleas for payment. Tax liens are like tar. They stick to everything - homes, cars and income. According to the IRS, liens give the government a legal claim to a person's or company's property. Liens serve as security or payment for the tax debt and a red flag to creditors.

There are a variety of reasons people don't pay. Some can't afford to and some refuse while others miscalculate or receive bad advice. Unpaid taxes can lead to prison - just ask actor Wesley Snipes.

This blog will focus on state and federal liens and identify those who don't pay income, business and property taxes. We will gather our information from public records, interviews and Detroit News archives.