Xzibit a well known rapper and former host of MTV's Pimp My Ride has filed for bankruptcy last month, for the third time since July 2009. According to public records, Alvin Joiner (AKA Xzibit) owes close to $1 million in delinquent federal taxes.
It is reported that he first encountered financial problems subsequent to the cancellation of the MTV show, which preceded the foreclosure of his home in Woodland Hills, California. The 7,650 square foot home just sold last week for $610,000 as foreclosure sale. Apparently his yearly income plummeted from $497,175 in 2007 to a mere $67,510 one year later, once Pimp My Ride was off the air.
His two previous attempts at filing for bankruptcy were denied for various reasons. Despite his tribulations, he listed assets totaling $739,433 (mainly houses in California and New Mexico) as of July 2009. However, his liabilities totaled 1.4 million.
What is Owed:
- The IRS filed a $22,196 lien against him Nov. 2 with the Los Angeles County Recorder.
- The IRS filed a $435,487 lien July 21, 2009, with the Bernalillo County Clerk in New Mexico, where he owns a home.
- The IRS filed a $205,485 lien Feb. 4, 2009, in Los Angeles County. He owes income taxes from 2007, according to the lien.
- The IRS filed a $296,355 lien April 17, 2008, in Los Angeles County for unpaid income taxes from 2006, records show.
It's interesting to note that bankruptcy can be an option for many people in a wide range of circumstances. As Xzibit discovered, it's important that your bankruptcy filing is done right. Should you want to discuss this matter further, I offer a free 30-minute phone consultation, and we can discuss your individual questions about Bankruptcy.