Yet another celebrity owes IRS Tax Debt... This time it's Aaron Carter, a 21-year-old former Dancing With the Stars Contestant and younger brother of Backstreet Boy member Nick Carter.
According to court documents, Aaron Carter owes more than $965,000 from 2003 alone. An additional $45,350.11 is also owed from income earned in 2006.
In a statement, Carter's manager Johnny Wright states:
"It is unfortunate that while Aaron was a minor, his finances were grossly mismanaged by his previous team which has lead to the current situation of which he was unaware of until today. Aaron is working with a new team to take appropriate actions towards speedy resolution of the matter and looks forward to putting this behind him and moving forward with the next stage of his music career."
It's clear that Aaron Carter's tax debt is a result of mismanagement, as he owed debt from 2003 when he was 15 years old. This is a classic example of the importance of hiring qualified accountants- you don't want to end up in tax debt for their mistakes!
Food for Thought: Two contestants from the popular show "Dancing with the Stars" have landed in Tax Debt. The first was Helio Castroneves, now it's Aaron Carter who's in the hot seat. Sometimes you have to wonder, is the IRS making examples out of contestants on a popular TV show to prove a point to the millions of Americans watching? Why wasn't a Tax Lien filed in 2003 when Aaron Carter owed over $900,000?