Senator and Wife Settle Longstanding Tax Debt
Republican US Senator Jim Justice and his wife, Cathy Justice, have reached an agreement to pay more than $5 million in back taxes owed to the federal government. This settlement comes shortly after the US Department of Justice filed a lawsuit against the political couple over the 16-year-old debt.
The Federal Lawsuit and Settlement Details
The lawsuit was filed on Monday in federal court in the Justices' home state of West Virginia. It alleged that the couple had received notice from the US Treasury Department about the funds due dating back to 2009 but had "neglected or refused" to make the full payment. The suit demanded the repayment of a balance of nearly $5.2 million.
Later on the same Monday, a separate filing confirmed that a settlement had been struck. The Justices agreed to pay the full amount plus statutory interest and other additions. This agreement is currently pending a judge's formal approval.
A Pattern of Financial Difficulties
This is not the first financial hurdle for Justice, a coal mining heir. In October, the Internal Revenue Service (IRS) filed liens totalling more than $8 million against the couple for unpaid personal taxes. Furthermore, West Virginia tax authorities placed a $1.4 million lien on the luxurious Greenbrier hotel resort, which the Justice family owns and operates in White Sulphur Springs.
The family only narrowly avoided foreclosure on the 246-year-old Greenbrier property by reaching an agreement with a credit collection company in August 2024. The Justice family had purchased the resort, which has hosted US presidents from Martin Van Buren to Donald Trump, out of bankruptcy in 2009 for $20.1 million.
Despite once being considered West Virginia's wealthiest resident, a Forbes report from January indicated that more than $1 billion of collective debt has resulted in Justice having a projected net worth of "less than zero".
Senator Justice's office did not immediately respond to a request for comment. He has previously dismissed attempts to collect on his financial debts as politically motivated attacks, telling the Associated Press in October that his businesses are "complicated and complex" and that his children were managing them well.
Despite these significant financial troubles, Jim Justice served as West Virginia's governor for eight years beginning in 2017 before winning election to the US Senate, taking over the seat vacated by the retirement of Democrat Joe Manchin.