Famed singer Dionne Warwick is known for a bevy of hits, in addition to a very long and successful music career. However, recent times have not been kind to Warwick. She filed for bankruptcy a few months ago as a result of the alleged back taxes she owes the Internal Revenue Service.

The IRS says Warwick owes it $7 million; while Warwick and her legal team say that all of the alleged debt -- except for $25,000 -- should be discharged. The IRS is going to great lengths to collect this debt; the federal organization has informed two companies that Warwick has no stake in (but is associated with) to try and earn back some of the money Warwick allegedly owes.

Warwick and her legal team have since filed an appeal against this attempt by the IRS to earn financial relief. Warwick will also be pushing forward with her bankruptcy filing, hoping to earn the debt discharge she believes she deserves.

Bankruptcy can help an individual with tax debt, but it is far from a sure thing. There are many complications that can arise by filing a bankruptcy claim while you are under the IRS microscope. That doesn't mean the bankruptcy route will fail; but it also is far from a guaranteed success.

If for some reason bankruptcy is not an option for an Atlanta resident who is in trouble with the IRS, consulting an attorney is the next step. Learn what types of options are available to you -- and remember that the IRS is not all-powerful. You can successfully challenge the IRS; even by working with the organization and effectively communicating with it, an individual can resolve his or her tax issues.

Source: Wall Street Journal, "Dionne Warwick Takes on the IRS," Jacqueline Palank, June 10, 2013