Michael Jackson’s mother and his three childrenhave been cut off from receiving funds from his trust due to an ongoing dispute between his estate and the IRS (Internal Revenue Service).
As per his will, the hitmaker’s three children, Prince, 27, Paris, 26, and Bigi Jackson, 22, became beneficiaries of his trust after his death in 2009, while hismother, Katherine, 94, became the sole beneficiary of a sub-trust.
HighlightsMichael Jackson’s kids and his mom have been blocked from trust funds due to a legal battle between his estate and the IRSThe pop icon’s children and mother are still receiving payments through a “family allowance,” the estate saidThe singer’s mom Katherine got more than $55 million since his death, a source claimedThe legal battle began in 2021 after the IRS accused the estate of undervaluing its assets and owing “$700 million in taxes and penalties"
The trusts of Michael Jackson’s mother and his three kids cannot be funded until an ongoing dispute between his estate and the IRS is resolved
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The King of Pop’s estate has been locked in a legal battle with theIRSsince 2021, with the latter accusing the estate of undervaluing its assets and owing “$700 million in taxes and penalties.”
Further proceedings can only take place after the determination of the estate’s value.
It is “necessary” to resolve the dispute to determine the charitable contribution, the filing said.
The hitmaker’s three children, Prince, 27, Paris, 26, and Bigi Jackson, 22, became beneficiaries of his trust after his death in 2009
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Even though the disputes are yet to be resolved, the estate said it still continues to provide for the pop sensation’s children and their grandmother through “the family allowance.”
“In annual reports provided to the probate court, which are publicly available, anyone can see that the Estate provides Michael’s mother and children with very substantial amounts of money to support them,” read a statement toPeople. “The Estate has a very cooperative relationship with Michael’s children and whenever they need anything, the Estate works with them to ensure that they are very well taken care of, just as Michael would have wanted.”
“Virtually no request of Mrs. Jackson for her care or maintenance has been declined,” the estate also claimed in recent filings.
A source close to the estate told the outlet that Katherine has received more than $55 million since theThrillervocalist passed away.
The pop icon’s mother, Katherine, is not a beneficiary of the estate like his kids, but she is the sole beneficiary of a sub-trust, as per his will
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The May 28 filing comes at the heels of Katherine responding to her grandsonBigi’s objection to her using fundsfrom the pop icon’s estate to pay her legal fees in a separate battle with the executors of the estate. That legal dispute is also ongoing.
“… it seems clear to [Katherine] that the Executors are holding all of the assets in the Estate in order to keep control over them, and to avoid the more liberal distribution requirements of the Trust,”saidKatherine’s filing.
“The Executors cannot in good faith contend that the Estate does not have sufficient available funds to allow the Trust to make the requested payment,” said her filing, which also challenged the estate’s 20 percent donation to charities.
“…Nothing in the Trust requires those payments to be made before any preliminary distribution to other beneficiaries,” the filing argued about the charitable donations.
The hitmaker became a father to Prince and Paris, born to Debbie Rowe, before welcoming Bigi via surrogacy
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TheBillie Jeansinger became a father to Prince and Paris after they were born to his second wife, Debbie Rowe, who offered to have his children before their divorce in 1999. The pop icon took full custody of the kids after their separation, and he welcomed Bigi, formerly known as Blanket, via surrogacy in 2002.
He also said at the time that he wanted to be the “best father in the world” to them and added, “They’re wonderful, sweet, innocent children.”
“They’re the world for me. I wake up and I’m ready for the day because of them,” he said.
Thethree children made a rare public appearanceon the red carpet together in March this year, attending an event in honor of their late father’s legacy.
They were seen at the Prince Edward Theatre in London for a preview performance ofMJ: The Musical, which is based on the late singer’s life.
“They’re the world for me,” theThrillersinger said as he once gushed about his children
Image credits:MJFV
Prince shared in 2021 that he has a “close relationship” with his younger siblings.
“At this point in our life, it doesn’t really feel like there’s that hierarchy of, ‘I’m the older brother,'” hesaidin an interview withGood Morning Britain.
“It’s more [that] we’re all siblings and we’re kind of all on that same level where my sister has her strengths, and my brother has his strengths, and where I’m not as strong in certain areas, they complement me in that way,” he added.
Some people online felt the dispute between the singer’s estate and the IRS was a “mess”
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