Dionne, IRS ain't buying, neither am I

[JustRalph]

http://www.telegraph.co.uk/culture/music/9962594/Dionne-Warwick-dizzying-downfall-of-a-bankrupt-diva.html

This isn't tragic. This is total bullshit! Check out the numbers.

No wonder the IRS won't cut her a deal

NJStinks.........love to hear your opinion

[PaceAdvantage]

$1000 a month in ELECTRICITY?

[Steve 'StatMan']

She used to be involved with the Friends Psychic Network. She or one of her 'Friends' should have seen problems coming.

[johnhannibalsmith]

$1000 a month in ELECTRICITY?

The one that got me was $5000 in rent... but $5000 for "housekeeping" and another $4000 for a personal assistant. It sounds like about half of her "expenses" may be just people holding her money. Surely if you only net $10 a month and have a bunch of bills you don't want to pay, you can't do without a housekeeper and an assistant that cost twice as much as rent and food combined.

That said, **** the IRS and their preposterous penalties. :p

[PaceAdvantage]

$1000 a month in electricity is insanely high. Even in the summer with the central A/C going, I don't think I top 200....

[johnhannibalsmith]

$1000 a month in electricity is insanely high. Even in the summer with the central A/C going, I don't think I top 200....

Hmmm... I guess you aren't growing massive amounts of grass in the basement... :lol: ... Not saying Dionne the psychic is, but that would certainly explain it... she is in California, right?... I hear those cards are easy to get...

[PaceAdvantage]

Article says her home is in Jersey...

[JustRalph]

$1000 a month in electricity is insanely high. Even in the summer with the central A/C going, I don't think I top 200....

I had an almost 5000 sq ft place in MD and paid huge rates and barely went over 550-600 in the summer. And I didn't scrimp a bit. Not to mention I had a lighted pier/dock etc. lots of computers that never get turned off.

[johnhannibalsmith]

Well sheeeeet, I think I knew that thanks to Whitney... I guess the part about owing Cal taxes led me astray... I like the theory anyway... if that ex-CIA couple could get raided because they bought equipment for tomato gardening, surely a thousand dollar a month electric bill constitutes probable cause. :D

[fast4522]

Even a consummate liberal who is rich would rather write a check to anyone but the government.

[fast4522]

Somehow I see the IRS backing off this old lady.

http://www.youtube.com/watch?v=qo8nLMCLT60

[TJDave]

I believe she's flat broke. I know that one of her boyfriends took everything that wasn't nailed down.

[Robert Goren]

I believe she's flat broke. I know that one of her boyfriends took everything that wasn't nailed down.So do I. The trouble is she doesn't believe it. So sad.

[NJ Stinks]

http://www.telegraph.co.uk/culture/music/9962594/Dionne-Warwick-dizzying-downfall-of-a-bankrupt-diva.html

This isn't tragic. This is total bullshit! Check out the numbers.

No wonder the IRS won't cut her a deal

NJStinks.........love to hear your opinion

Hard to feel compassion here, Ralph, so I'm out of my element! :D

I think your opinion sounds about right. Particularly concerning to me is the part in the article pasted below. I don't know what exactly a "loan out corporation" is but it seems BSy to me.


_____________________________________

She also receives an average $6,250 a month in wages from Star Girl Productions, the company she lists as her employer. Successful artists commonly set up such entities - known as "loan out corporations" - through which to provide their services and reap legal tax benefits.

David L Neale, a Los Angeles-based bankruptcy attorney who has studied Warwick's court filing, said: "If an entertainer's business people show to the IRS figures stating that the person's income is X amount and that there is Y amount available, then either the IRS buys into it or they don't.

"The loan-out company could cover costs such as staff, travel, and pay the entertainer a salary that may be equal only to what that person requires to meet their monthly outgoings. It may be that there's more money, in the form of royalties or other income, that's paid to the loan-out company but which is not personal income to the entertainer.

"This is speculation, but part of the complication may be that the IRS sees her showing income equal to her expenses, but also having an interest in a company where money is coming in and going to others. That may lead the IRS to say 'Wait a minute'."

[JustRalph]

It sounds like the "loan out corp" is a place to collect income from, if you don't want someone to know where it's coming from?

[dartman51]

This is what I found, sounds legit. :ThmbUp:

http://abspayroll.net/payroll101-loan-out-companies.html