The IRS has a little known unit that has been in existence the last few years. It’s purpose? It goes after entertainers and athletes in search of unreported income and it is having a lot of success.

Being a multi-state star can be very expensive. Let’s assume you are Kobe Bryant and play for the Lakers, obviously. After a home game, you go on a road trip and play in Chicago, New York City and Boston. You must file federal taxes, but also state and city taxes for each of the games. Obviously, Kobe hires someone to do that for him and so do others. Their abilities, however, are being called into question by the IRS. 

The IRS has concluded athletes and stars simply don’t seem to pay what they really owe. We’ve all read about the investigations and prosecutions of people like Helio Castroneves, Wesley Snipes and so on. Well, it turns out the IRS has an “issue management team” that follows the finances of these people as well as other entertainers. 

So, how has the issue management team been doing? It has been doing very well. Rappers have been taking a beating in particular. The IRS has nailed the following individuals for the following amounts recently: Suge Knight ($6 million), Nas ($3 million), DMX ($1.5 million), Lil Wayne ($1 million), Swizz Beatz ($645,000), Snoop Dogg ($598,000), Fat Joe ($140,000) and Method Man ($40,000). Boxer Floyd Mayweather Jr suddenly came out of retirement when the IRS started placing millions fo dollars in liens on his properties as well. 

It often seems like there are two sets of rules in society. One for the wealthy and famous and one for us schmucks. From OJ to BP to so many others, we all know the nature of things we see in the media. When it comes to taxes, however, it is somewhat comforting to know we all are in the same mess!