People go broke for many different reasons. Some lose money due to marriage (or divorce) problems, unrestrained preference for expensive items, bad investments, drug addition, medical bills, or just plain and simple poor financial management.
For celebrities – whether Hollywood actors or singers – one of the main reasons that so many of them went broke after earning millions of dollar from their successful careers was unpaid tax bill, which accumulated over many years.
When the IRS eventually and inevitably caught up with them, they came to realize that their ignorance came with a serious consequence: ridiculous amount of debt.
For the general public, the lives of the famous and rich often look glamorous. It appears as if celebrities never have to worry about their finances because they have so much expendable income.
What most people do not realize is that even the biggest celebrities are not invulnerable to money issues.
We have seen quite plenty of big stars sharing inspiring stories of how they came from nothing and climbed the ladder to financial success, yet the opposite also happens.
Here are just few examples.
10 50 Cent
Curtis James Jackson III, or more commonly known as 50 Cent, was at a point in his career and broad business ventures one of the most lucrative celebrities in modern days.
He owned a gigantic wealth of over $155 million in assets that he had accumulated over the years from his endeavors in music, film, and TV industries.
But just like in many cases with a lot of other stars, the “big spender” lifestyle and poor financial management added with reluctance to care for obligations turned his life upside down.
He filed for bankruptcy is 2015, citing between $10 and $50 million in debt.
9 Toni Braxton
Even as of today, Tony Braxton remains one of the highest selling female R&B artists in history. She has sold 67 million records including 41 million albums worldwide.
You would assume that the amount of money she owns just from those sales and not including other business ventures could keep her pretty much in a financially-worriless life, but that is not the case.
Because of her negligence, she accumulated more than $50 million in debt by not paying the bills for services and taxes. Among the organizations from which she owes money include AT&T, Tiffany & Co., and of course the IRS.
8 Wesley Snipes
A well-known action movie actor of the 90s who also starred the Blade trilogy, Wesley Snipes, failed to fulfill his tax obligations for the years 1999 through 2004.
He was sentenced to three years in prison in 2008 for willful failure to file federal income tax returns.
Unfortunately for him and all of his hardcore fans, it was not the only problem he had. In addition to failing to pay income taxes, Snipes accumulated more debt than wealth.
He had no care for how he spent money, and as a result his debt actually was bigger than his assets.
7 Stephen Baldwin
Everyone is familiar with the Baldwin name.
The youngest of the Baldwin brothers, Stephen, appeared in a relatively long list of films and TV shows from 1987 to 2019.
He filed for bankruptcy once, in July 2009, claiming that he had more than $2.3 million in debt.
Court papers showed that he actually owed $1.2 million on two mortgages on a property that was valued at $1.1 million in addition to credit card debt and over a million of unpaid taxes.
He was still involved in a lot of projects after the bankruptcy filing, so we can only assume that he has managed to fulfill at least some of the his obligations now.