A dispute over the value of royalties, residuals and image value between the estate of musical superstar Whitney Houston and the IRS has been settled. The estate of the iconic singer, who drowned in a bathtub at a Beverly Hills hotel suite in 2012, had been ordered to pay $11 million to the IRS based on the IRS’s charge that the estate had grossly underreported her assets.
The Daily Mail’s recent article, “Whitney Houston's estate reaches $2million settlement with IRS” reports that court documents filed last week show that the estate reached a settlement with the IRS where it agreed to pay the agency a total of $2,275,366.
This settlement comes after the singer’s estate claimed the IRS was incorrect in their value determination, and alleged that her music royalties, digital performance royalties, motion picture and TV residuals, and publicity rights—which they valued at $11.7 million—had been overvalued.
The parties were scheduled for a court trial to argue about the details of their lawsuit in February. However, that’s been cancelled with the news of the out-of-court settlement.
There’s now no need for the hearing.
Meanwhile, the royalties from the I Will Always Love You hitmaker’s extensive collection of hits are set to keep soaring. In November, some previously unreleased tracks from Houston were made public to mark the 25th anniversary of The Bodyguard.
The collection, Whitney Houston - I Wish You Love: More From The Bodyguard, features several unheard pieces from the late singer's legendary career. The release marks the 25th anniversary of The Bodyguard: Original Soundtrack Album, which she co-executive produced with Clive Davis.
The soundtrack from the movie, which was Houston’s first big screen appearance, is the top-selling soundtrack album of all time. It’s sold more than 45 million copies around the world, and was the first record to sell more than a million in a single week.
Reference: Daily Mail (January 4, 2018) “Whitney Houston's estate reaches $2million settlement with IRS”