Damon Dash Explains $3 Million in Back Taxes

The former Roc-A-Fella executive is being audited.

Posted: 08/09/2011 12:35 AM EDT
Filed Under Damon Dash

Damon Dash has fallen on hard times again. The former Roc-A-Fella business man reportedly owes the US government $3 million in back-taxes.


Now Dash, who recently admitted on Shade 45's "Sway in the Morning" satellite radio show that he is "f--ed up," is in the middle of an investigation by the IRS.


"They're auditing me. When you're a business man, you have a lot of businesses, a lot of times they think you're laundering money or you're pretending you're writing things off that you don't," Dash, owner of DD172, said, according to MTV News. "I'm a true businessman. As you know, I believe in my independence, I have no partners, so every dollar I make goes right back into every business I have."


Dash says that the audit is due to his accountant's failure to itemize his expenses. "If I have an accountant that just reports I just invested $10 million in my business and he doesn't exactly itemize where every cost goes, it gives a flag to the government," Dash explained. "They want to make sure that the reason I'm not paying taxes is because I'm reinvesting in these businesses and not trying to hide stuff … They really don't believe that I'm so real about putting all of my money into my business, but that's what I do."

(Photo: Stephen Lovekin/Getty Images)

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