Michael Jackson died with millions of dollars in debt: report

Michael Jackson, the King of Pop, left an indelible mark on the music industry with his unparalleled talent and commercial success.

However, behind the scenes, Jackson was struggling with a financial crisis that would ultimately lead to a staggering debt of over $500 million at the time of his death in 2009.

Court documents and expert testimonies have revealed the financial struggles of the pop icon.

According to certified public accountant William R. Ackerman, who testified during the 2013 wrongful-death trial on behalf of AEG Live, Jackson’s annual expenses exceeded his income by a whopping $30 million.

The financial deficit was largely attributed to Jackson’s extravagant lifestyle, which included significant spending on charity donations, gifts, travel, art, and furniture. Ackerman also noted Jackson’s substantial jewelry purchases, describing him as financially “tapped out.”

‘Financial woes’

The financial woes of the Michael Jackson had been accumulating for years, dating back to 1993. By 1998, his debts had reached 170 million between 2001 and 2009.

In an attempt to alleviate his financial burden, Jackson used his stake in a valuable song catalog, which included Beatles hits, as collateral for approximately $270 million in loans from Bank of America.

These loans were later sold to Fortress Investment Group, a company specializing in distressed debt, in 2005.

The King of Pop’s music sales and touring revenue had made him one of the highest-paid entertainers in the world. However, his unsustainable spending habits and poor financial management led to a massive debt burden that ultimately contributed to his financial downfall.

Furthermore, the Jackson estate is currently in a dispute with the I.R.S. after a tax audit, according to reports.

In a separate court filing this year, the estate said that the federal agency accused it of undervaluing its assets and said it owed “an additional $700 million in taxes and penalties.”