A legal dispute has prevented the children and mother of the late American music icon Michael Jackson from receiving trust funds.
According to court records obtained by People on Thursday, Prince, 27, Paris, 26, and Bigi Jackson, 22, as well as the late King of Pop’s mother Katherine, 94, will not be receiving any money from his trust until his estate and IRS resolve a protracted legal fight.
The estate was “issued a note of deficiency” after a tax audit, which claimed the estate “undervalued its assets” and owed “$700 million in taxes and penalties.”
The filing states that the estate successfully contested the results in tax court in 2021.
Since then, the estate has submitted a move to reevaluate the value of the “Thriller” singer’s Mijac music catalogue.
The estate’s finalised tax-reporting value has not yet been determined because the request is still pending.
According to the paperwork, the estate and IRS must both approve the deduction’s value once the estate’s worth has been established before the final decision is rendered.
Lawyers have asked that some of Michael’s wealth be given to the Michael Jackson family trust while the legal struggle rages on, the site reported.
However, the request was denied because executors argued that they couldn’t “possibly determine what amount could be safely distributed at this time.”
According to the documents, the executors also recommended that the estate use the “family allowance” to support Michael’s mother and children.
Months after Sony Music Group and Michael Jackson reached an agreement in February to buy half of Michael Jackson’s discography for a minimum of $600 million, the decision was made.
Bigi and his grandmother Katherine have been at odds for some time now since Katherine tried to utilise estate funds to cover legal bills for a private legal fight.
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