Steve Harvey’s $22 Million IRS Nightmare Resurfaces — How He Rebuilt His Life After Financial Ruin

Even though it was a year ago that Steve Harvey appeared on Shannon Sharpe’s “Club Shay Shay” podcast, where he discussed his career and financial ups and downs, a clip from the episode has resurfaced on social media. In the clip, Harvey reflects on how he had to rebuild his career after owing the IRS millions.

Harvey’s Financial Meltdown

Sharpe brings up the Kings Of Comedy Tour, which ran for two years and grossed about $37 million. It featured Harvey, Cedric the Entertainer, D.L. Hughley, and the late Bernie Mac.

Despite the tour’s huge success, Harvey said had no money at the time.

“You lost everything twice; in 2005, you had $1,700 left. This was after the Kings of Comedy. You have $1,700 after making $30 million after the tour. What the hell happened to the money?” Sharpe asked Harvey.

“It’s called a divorce. I got jumped on, but it was even before the divorce, but I’m not going to say who did it, but they got in cahoots with my financial planner,” Harvey told Sharpe.

He went on, “I was writing checks to the government for seven years, writing tax checks, signing the tax checks, giving them to turn in, they were keeping them, taking the money out of the account like I was paying taxes, and keeping it for themselves.”

Harvey explained in his interview with the podcast, which was published on April 24, 2023, that when his accountant died, he finally discovered the scheme — and that he owed million in unpaid taxes.

Harvey added that his ex-wife, Mary Lee Harvey, took his savings, leaving him, he inferred, unable to take cover his massive and unexpected tax debt immediately. “I had saved some millions but before I could split the assets, she took all of that out of the bank and moved it. The divorce was over. It was let’s just split the assets, but you took all the assets and I was stuck with a tax bill.”

Mary Lee, his second wife, whom he was married to from 1996 to 2005, accused Harvey of infidelity and took legal action. And, she has a different story than Harvey. She accuses the radio personality of using his influence in a Texas court to his advantage, resulting in a limited settlement for herself.

It was reported that she was awarded $40,000 per month in spousal support, from 2005 to 2009. Mary Lee, who shares a son Wynton with Harvey, also received a one-time $1.5 million settlement.

While dealing with divorce drama, Harvey also had to deal with owing millions to Uncle Sam. During the Sharpe interview, Harvey went on, “And I had to pay seven years of back taxes and get current. I was in a world of trouble, man.” He reiterated all he had was “$1,700.”

The tax debt turned out to be $22 million.

“The Family Feud” host has recounted this story before on other podcasts telling it a little different at various times, some critics say. One podcast was Earn Your Leisure. “So when I looked up [my bank account] I had $1,700, but that was when I I went to New York and sign the contract for syndicate radio— here comes God,” he said in that interview in 2022.

Harvey said in 2005 he was earning money from radio gigs, which was a help, he said, in paying off his debt. Still, it took the comedian several years to do so. He explained he paid $650,000 per month to the government, which included both his back taxes and current tax obligations, until it was paid off in 2012.

Today, Harvey is worth an estimated $200 million.