Posts Tagged ‘Ja Rule’

Never on Time, Results in Time

July 18th, 2011 1 comment

Ja Rule is an American rapper from Queens, NY. His song “Always on Time,” featuring Ashanti and released in 2001, was Ja Rule’s second Hot 100 number one single. Unfortunately for Ja Rule, he wasn’t on time with filing his tax returns from 2004 to 2008. In fact, he never filed his income tax returns for any of these years, and failed to pay any federal taxes on his $4 million in income earned over that time.

Earlier today, Ja Rule was sentenced in federal court to 28 months in prison for failure to file his tax returns. In court, Ja Rule attempted to explain to the judge what had happened:

“I was a young man who made a lot of money…. I didn’t actually know how to deal with these finances … [and] I didn’t have the best people guide me, so I made mistakes.”

We’ve heard this kind of story countless times. I’m not saying I don’t believe him. It just pains me to see time and time again people who are too young to suddenly become millionaires. When in the large spotlight for the first time, the immature naturally put little to no thought towards properly addressing financial matters.

Ja Rule was already 28 years old when his tax problems began. Perhaps he doesn’t neatly fit the type of person I describe above. Nevertheless, you’d think preventative measures are readily available that can steer the young and naïve in the right direction. As we’ll continue to see young people earning a fortune early in life, I believe the primary problem here may be the lack of overall effort towards connecting the vulnerable with a competent adviser long before mistakes are made. Ascertaining what it takes to overcome that problem, unfortunately, is likely a problem onto itself.

Categories: Music, Tax Fraud Tags:

Lil Wayne Slapped with $5.4 Million Tax Lien

April 4th, 2011 No comments

Another celebrity, another federal tax lien.

It’s no secret that the IRS is targeting the rich.  Indeed, federal and state tax agencies operate most efficiently when they pursue the deepest pockets.  The latest victim: American rapper Lil Wayne.

The IRS recently filed a federal tax lien on Dwayne Michael Carter, Jr.’s Miami residence, which is currently on sale for just under $13 million, to secure back taxes of $3.35 million for 2008 and $2.26 million for 2009.  The house is rather nice to look at, but it needs a new owner.

Another American rapper, Ja Rule, recently pleaded guilty to federal income tax evasion in federal court in Newark, NJ.  Ja Rule admitted to failing to pay taxes on over $3 million in income earned between 2004 and 2006.  He faces sentencing in June.

It’s unfortunate to see time and time again musicians who quickly rise to the top fall from their fame just as quickly.  One can only hope the innocent learn from the others’ mistakes.

Categories: IRS, Music, Tax Fraud Tags: ,
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