Actor Nicolas Cage Settles Tax Dispute for $666K
Posted Sep 9, 2008 10:04 AM CDT
By Debra Cassens Weiss
Actor Nicolas Cage, starring in a new movie called Bangkok Dangerous, is opting for a safe landing in a dispute with the Internal Revenue Service.
Cage and his production company have agreed to pay more than $666,000 plus interest to settle an IRS determination that they improperly deducted $3.3 million for the actor’s personal expenses, Forbes reports. The amount covers back taxes and penalties.
The IRS had contended Cage and his company Saturn Productions had taken improper deductions for limos, meals, gifts, his Gulfstream jet and other personal expenses. The IRS had been seeking $1.8 million for unpaid taxes. Cage had filed U.S. Tax Court petitions contesting the IRS bill.
Hat tip to TaxProf Blog.