IRS Tax Lien for $79,000 filed against Arnold Schwarzenegger: How to Terminate Back Taxes, Penalties

The LA Times reported that the IRS has filed a federal tax lien against Gov. Arnold Schwarzenegger for nearly $80,000.

The lien was filed May 11 at the Los Angeles County recorder’s office for $79,064, according to a record in an electronic database that includes lien filings. The record does not indicate what property the lien was placed on, but it lists the debtor as Arnold Schwarzenegger with the governor’s home address in Brentwood.

I viewed the actual Notice of Federal Tax Lien on TMZ.com, which posted a copy of a lien document that shows that Schwarzenegger owes $39,047.20 in back taxes from 2004 and $40,016.80 from 2005.

This type of tax trouble results from a failure to report certain business transactions (IRC Section 6721) and the penalty is filed against his FEIN (federal employment identification number) not his SSN (social security number). This is a penalty for not filing certain required tax forms such as W-2s or 1099s or 1098s.

If Arnold wants to terminate this penalty, it can be easily reversed by simply filing the applicable forms with the IRS. However, since these tax problems date back 4-5 years, it may be hard to locate the source documents, if they still exist.

For more tales of high-profile tax woes, check out the Top 7 Tax Resolution Lessons Learned from the Worst Cases of Celebrity Tax Evasion.

If an IRS tax lien has been filed against you, it’s important to seek professional tax attorney and tax resolution services.  For expert tax help resolving your back taxes, call for a free tax consultation - 1-866-IRS-PROBLEMS.

More Tax Help, IRS News and Tax Relief Tips:

  1. Both Celebrities and Joe Six-Packs Must Beware of Owing Back Taxes: IRS Targets Tax Cheats of All Income Brackets
  2. Tax Help: Nation’s Leading Tax Relief Expert Shares Tips on How Small Businesses Can Avoid IRS Audits

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This entry was posted on Thursday, December 10th, 2009 at 1:42 pm and is filed under Tax Liens and Levies, Tax Relief News, Tax news and tips. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

One Response to “IRS Tax Lien for $79,000 filed against Arnold Schwarzenegger: How to Terminate Back Taxes, Penalties”

  1. A Tax Attorney’s Expert Tax Help is Only As Good As the Records You Keep to Substantiate Your IRS Deductions | Tax Relief Tips from the Experts at Tax Resolution University Says:
    December 17th, 2009 at 11:49 am

    [...] is very similar to the recent case of the federal tax lien filed against California Governor Arnold Schwarzenegger–proving once again, that no one is [...]

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