The IRS and Whitney Houston Estate Square Off

It has been four years since Whitney Houston passed away and there have been many disputes but the biggest fight may be with the IRS.

Family battles have played a big part in the estates of Whitney Houston and her daughter Bobbi Kristina. However, one last battle remains in Whitney Houston's estate and it is currently in tax court in a dispute with the Internal Revenue Service over the value of the estate, according to the Hollywood Reporter in "Whitney Houston Estate Challenges $11 Million Tax Bill."

The IRS claims the estate underreported the value of Houston's estate by $22.6 million and that $11 million is owed to the government, which includes a $3 million penalty fee. The bulk of the discrepancy is over the value of song and performance royalties as well as the value of the late singer's albums.

However, the two sides also disagree over the value of the publicity rights.

Even though the IRS and the estate only differ by $200,000 over the value of the publicity rights that is the dispute legal observers will watch the most closely.

Why?

The outcome has potential implications for similar disputes in other celebrity estate tax battles, including Michael Jackson and Prince.

This case has only recently gone to court so it is likely to be a while before an outcome is reached.

Reference: Hollywood Reporter (May 27, 2016) "Whitney Houston Estate Challenges $11 Million Tax Bill