Warwick’s Latest Chapter

Dionne Warwick filed a Chapter 7 bankruptcy petition March 21 in U. S. Bankruptcy Court in New Jersey because she owes about $10 million in taxes going back to the 1990s.

Warwick’s spokesman Kevin Sasaki said in a statement the problems stem from a former business manager who botched her finances over an eight-year period. Despite making good on the original amount owed, Warwick still owes about $7 million to the Internal Revenue Service and $3 million in California business taxes.

“In light of her tax liabilities, Warwick has repeatedly attempted to offer repayment plans and proposals to the IRS and California Franchise Tax Board for taxes owed,” Sasaki explained. “These plans were not accepted, resulting in escalating interest and penalties.

“Although the actual amount of back taxes owed has been paid, the resulting penalties and interest has continually accrued.”