Drowning in a huge financial sinkhole, Pamela Anderson is desperately looking for a rescuer to throw her a life preserver. But no amount of press coverage or public adoration can save the desperate star. The former Baywatch babe, Playboy model and celebrity girlfriend had two huge tax liens filed against her in Los Angeles in 2009. The IRS has filed a $1,700,173 lien against Anderson with the Los Angeles County Recorder of Deeds in October. Earlier in the year, the state of California filed a $252,360 tax lien against her in Los Angeles.
Despite the liens and rumors about a possible bankruptcy, the 42-year-old mother of two, who was named by the Guinness experts as the world record holder for being the “most downloaded star” ever, continues to insist that she’ll be fine. If Pamela Anderson is going to be fine, she should contact a tax professional like Peter Stephan at the Tax Resolution Institute.
With extensive experience negotiating Installment Agreements and Offers In Compromise in huge tax cases with both the IRS and the State of California, Peter Stephan has the kind of experience Pamela truly needs in her hour of crisis. Once liens have been filed, remedial action has to be taken, or a levy and the eventual seizure of assets and property will follow.
A federal tax lien can only be filed by the IRS after the tax is assessed; a Notice and Demand for Payment is mailed; and the taxpayer neglects or refuses to fully pay the debt. If payment isn’t made after 10 days of receipt of the notice, the IRS files a tax lien for the amount of the debt. The lien attaches to property (such as Pam’s house) and puts other creditors on notice. State tax liens generally operate in the same manner.
Pamela Anderson has survived personal storms before, including several divorces, spousal abuse and a hepatitis C diagnosis. Anderson admits that, “Mistakes may have been made in calculating taxes owed and we are now in the process of ensuring that any taxes owed are paid.” In addition to the taxes, the actress is reportedly $4.8 million in debt on account of expensive renovations on her Malibu dream home.
The original price tag for the property was a modest $1.3 million and change. But renovations have led to Anderson being sued by five contractors for not paying her bills. In an interview, Anderson said she had been hit by the recession and let down by a string of investments. “I’m a little girl with two kids – how could you screw me?” she asked of her contractors. Construction projects easily can destroy relationships: “It rips your heart out” she claimed in the emotional interview.
The former wife of Motley Crue drummer Tommy Lee and singer Kid Rock continues to put on a brave and deny that she is in real trouble. In a press statement, Pamela declared: “I am actually touched at how much concern has been expressed for me over this. It is true that I am in a dispute with some of the contractors working on my home.”
What Pamela does not realize is that there is a big difference between being sued by private contractors and having the IRS and the California Franchise Tax Board come after her with official tax liens. Rather than rely on her managers and lawyers, Pamela Anderson should look for help from an accomplished tax professional like Peter Stephan and the tax experts at the Tax Resolution Institute.