Mystikal Reaches Settlement In $3M Tax Case: Report


Mystikal’s $3M legal battle against the United States for taxes won’t go to court.

Mystikal might be fresh out prison but he still has a few legal battles he has to tend to. The rapper was sued by the United States Government over $3M in back taxes that he owed. Thankfully, he’s managed to dodge a trial in the legal battle as he’s reached an agreement with the United States government.

Mystikal Reaches Settlement In $3M Tax Case: Report
Chris McKay/Getty s

According to The Blast, Mystikal and the U.S. government told the court that they’ve reached a deal in their legal battle in order to avoid going through with a trial. 

Legal documents read, “The parties have reached an agreement to settle the plaintiff’s cause action against the defendant in its entirety, although the necessary documentation has not yet been accomplished. In addition to this Notice, the parties have informed both the Clerk’s Office and Chambers this settlement.”

Mystikal was accused failing to pay $2.9M in back taxes, penalties, and interests from the years 1997-2002, 2007, 2008, and 2011-2013.

Late last month, the rapper attempted to claim that his record label and management are to blame for his financial problems. He explained that he only found out that he had to pay back a large sum money in 2003, saying the labels and management handled his finances prior to that.

“For the tax years 1997 through 2002, Defendant was a recording artist signed to record labels and derived earnings from performances, recording advances, and songwriting royalties,” Mystikal said in the documents. “For the years 1997 through 2002, Defendant reasonably believed that his income tax filings and payments were being handled by his record labels and other representatives.”