Chrysler CEO Jim Press has close to $1 million in IRS back taxes and is even being sued by his credit union (Western Federal Credit Union) for defaulting on a $609k mortgage loan, The Detroit News reports. As many people know tax liens become public knowledge, and the IRS filed a $947k tax lien against Jim Press stating that he owes the IRS taxes from 2007.
The economic slump is not only taking a toll on the auto industry as whole in America but it is starting to negatively impact major executives as Jim blames his recent money problems on the lack of year end bonuses he and other executives were expected to receive. Jim states that he tried to obtain loans to refinance his home but was denied by two banks.
This becomes news as Jim Press is rumored by Automotive News to be stepping down at the end of the year or before the beginning of 2010. Chrysler has not commented further on this issue.
But don’t cry for Jim, he recently sold a townhouse in NYC (located off of Park Avenue) for about $15 million after he purchased the property in 2007 for about $13 million. Moreover, he still has a half-million dollar condo in New Orleans, public records show.
As IRS and state tax revenues decline due to falling incomes and a bitter economy, this is not the time to be out of compliance with the IRS or state, or to assume that you can slip under the radar.