Rapper Young Buck working on a deal with the IRS
by AccountingWEB on
Just a few weeks ago, rap star Young Buck (nee David Darnell Brown) made headlines of a dubious nature. That’s when Internal Revenue Service agents raided his home at gunpoint in Hendersonville, Tennessee.
The agents confiscated a long list of personal property to secure Brown’s back-tax debt of $300,000. Now the rapper, a former member of the group G-Unit, and his new accountant might have worked out a deal with the IRS for Brown to make monthly installments of $12,500 for 60 months (a total of $750,000) out of his pay from Cashville Records. And, he’s hoping to get much of his property back.
According to SOHH.com (a Web site dedicated to hip hop news), the items taken include:
- Breitling Bentley watch with diamond face and band said to be worth $31,000
- More than $20,000 worth of music-recording gear
- Portrait of rappers Lloyd Banks, Tony Yayo, 50 Cent, Eminem, and Young Buck
- G-Unit Beg for Mercy Award pictures
- Faux fur men's light grey coat with YB Cashville stitched inside
- Six televisions, including four with screen dimensions between 43 and 55 inches
- Ms. Pac Man video game
- Hand-crafted snakeskin purse from Nigeria
- Indigenous art from Australia
- Xbox game console (Brown complained after the raid that "they took my kids' Playstation.")
IRS Revenue Officer Lauren Thompson estimated the value of the property at $70,000, though, by Brown’s estimate, the value was closer to $160,000.
How did he get in this mess? He blames the tax delinquency on his tendency to lean on the wrong advisers.
"This IRS situation came about because I trusted accountants, lawyers, and managers to handle my business for me while I focused on making music.” In a statement about the raid, the rapper said, "From now on, I am going to stay on top of my own business."
Brown’s former CPA sees it differently. Bruce Seckendorf said he is not responsible for Brown’s poor decisions.
"Clearly, I'm not worried about it," Seckendorf told reporters. "I don't think it has any merit. I know I did nothing wrong. I'm not going to talk specifically about how [Young Buck] spent his money, but I view my job as the gatekeeper. Money comes in [and] we pay bills. He made his own financial decisions."
Until Brown fired him, Seckendorf said, he was keeping the IRS wolves away from the rapper’s door. He maintains that Brown’s new accountant is responsible for the tax delinquency that led to the raid.
“I totally knew what he owed the IRS and I was keeping them at bay," Seckendorf continued. “I sent an e-mail saying David Brown owes this money to the IRS. You need to address immediately. ... I advised him how we need to attack this, setting up a payment plan, [etc., but] he let me go. The new guy's supposed to run with it. What takes place after March and when they raided his house, I can't comment on. But I can tell you, chances are, they ignored the IRS and that's what's going to happen when you ignore the IRS and you owe them a lot of money."
After the news of the IRS raid hit the airwaves, Brown described that day to SOHH.com:
"I was asleep, man. It was like 6:30 am. They were probably thinking I was still living how I was back in the day because they came with their guns out and everything. My past has already been out there, so maybe they thought I was up to no good. If you coming just to serve some tax papers and take assets, then you wouldn't have M-16s, 12 gauges, and Glocks all out. They making it seem like it's a drug raid. I opened the door and they rushed straight in, man. I didn't even know what it was about. But I accept all responsibility."
Brown is knee-deep in red tape as he not only works to clear up the tax mess, but he’s also busy putting together a lawsuit against fellow rapper 50 Cent, G-Unit, and his former manager, Sha Money XL. The lawsuit claims he is worth $5 million to the group’s label. Brown also is filing for Chapter 13 bankruptcy, according to The Nashville City Paper.
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1 week 2 days ago by claudilocks