Toni Braxton declares bankruptcy again, may owe $50mn

Braxton has struggled with financial woes in the past. She famously filed for bankruptcy protection in 1998, after her then-label, LaFace Records, launched a lawsuit against her. In that case, she saw the IRS (Internal Revenue Service) file a lien against her for $396,000.

Braxton returns to bankruptcy
The singer and song writer/musician Braxton has once again filed Chapter 7 bankruptcy in California.

The 43-year-old six Grammy Awards winner has filed for bankruptcy in Los Angeles on Sept. 30, claiming she owes millions of dollars in unpaid debts all over the US, according to reports by The Associated Press and TMZ.com.

Assets far less than debt
The songbird known for hits like “Unbreak My Heart” and "He Wasn't Man Enough" claims she's facing up to $50 million in debt.

The 43-year-old six Grammy Awards winner has filed for bankruptcy in Los Angeles on Sept. 30, claiming she owes millions of dollars in unpaid debts all over the US, according to reports by The Associated Press and TMZ.com

However, the artist who has sold over $40 million albums worldwide asserts her financial worth lies only between $1 million and $10 million, the reports say.

TMZ reported that Braxton believes she owes creditors such as AT&T, The Four Seasons Hotel, Direct TV, Neiman Marcus, Tiffany & Co., ADT Security, American Express, Flamingo Las Vegas, Wells Fargo Bank (WOW), the I.R.S., and others.

Singer to sell assets to pay off debt
Citing the singer’s attorney, Debra Grassgreen, the AP reports the filing will allow Braxton to pay off mounting tax debts, by selling heavily indebted property in Atlanta.

Under Chapter 7 bankruptcy law, a court-appointed trustee will examine Braxton’s financial affairs, examine her assets, sell them off, and distribute the proceeds to her creditors.

Bankruptcy filing was difficult for tony
According to TMZ, Braxton and her company, Liberty Entertainment, filed for bankruptcy on Sept. 30, according to court records.

Grassgreen told TMZ: "This was a very difficult decision for Ms. Braxton. ... However, after months of trying to work out an acceptable arrangement with her principal creditors, she determined that the only way to assure that she could meet her tax obligations and provide for her two small children was to commence these bankruptcy cases."

According to Grassgreen, the bankruptcy will not prevent the singer’s future performances.

Tony’s health issues
Besides the money woes the singer has also dealt with major health issues in recent years.

In 2008, Braxton suffered from a heart condition microvascular angina that affects blood flow to the heart, forcing her to cancel a series of Las Vegas shows.

A former "Dancing with the Stars" contestant, Braxton had her benign tumor removed from her breast a week before her elimination from the hit dance reality show on Oct. 20.

About the singer
Born on Oct 07, 1967 in Severn, Maryland, Braxton was one of the most popular and commercially successful female R&B singers of the '90s.

Braxton has won six Grammy Awards and has sold over forty million records worldwide. Her number one single, "Un-break My Heart," is the second biggest selling single by a female artist in Billboard history.

In 1993, Braxton released her self-titled debut album, “Toni Braxton,” which peaked at number one on the U.S. Billboard 200 albums chart. In 1996, she released her second and most successful album, “Secrets.”