Taxing Time For Wayne Newton

Wayne Newton and the Internal Revenue Service are at odds over who owes what to whom.

The IRS claims that the Las Vegas Strip icon and his wife owe $1.8 million in taxes and penalties from 1997 through 2000.

However, Newton’s attorney says the couple is entitled to $2.2 million in unclaimed deductions over the same period.

The IRS, in a notice of deficiency, accused the Newtons of failing to report the sale of an Arabian horse, wrongfully claiming losses on antique car sales, failing to report income and taking improper deductions.

They, in turn, issued a statement saying they relied on the advice of their accountant and tax lawyers.

“We have paid millions of dollars in taxes so, obviously, it is not a matter of money but a matter of principle,” the statement said.