Tori Spelling and Dean McDermott’s recently finalized divorce has exposed a staggering financial burden, with court documents revealing over $1.7 million in unpaid taxes and additional debts, highlighting the couple’s ongoing financial struggles.
The divorce judgment, filed in Los Angeles Superior Court, details that the former couple owes $1.2 million to the Internal Revenue Service and more than $500,000 to the California Franchise Tax Board. These tax debts are to be split evenly, with each responsible for at least $600,000 of the federal portion and half of the state obligations. This revelation comes as part of the settlement that ended their 17-year marriage, which was officially dissolved earlier this month. The documents were obtained by Fox News Digital and reported by multiple outlets, including the Daily Mail and Page Six.
Beyond the tax liabilities, Spelling and McDermott face a slew of other financial obligations. They owe $37,000 to American Express and have an outstanding balance with City National Bank from a loan taken over a decade ago, which has ballooned to nearly $400,000. Additionally, Spelling owes $288,000 to a private individual, $69,000 to another unnamed person, and $10,228 in uninsured medical costs. McDermott, on his part, has $22,000 in student loan debt and $20,609 in uninsured medical bills.
The couple’s income disclosures further illustrate their financial situation. In court filings from September, McDermott stated that Spelling’s monthly earnings fluctuate between $3,000 and $75,000, depending on her acting and other jobs. He reported his own income at $3,800 per month, noting a significant decrease over the past year due to the SAG/AFTRA strikes and changes in the industry. McDermott attributed his reduced earnings to a drastic decline in acting and producing work.
Spelling and McDermott announced their separation in June 2023 after nearly two decades together, and Spelling filed for divorce in March 2024. The divorce was finalized in November 2025, with both parties agreeing on terms for support, asset division, and custody of their five children. The settlement includes no spousal support payments, and the couple will co-manage their shared debts, including the massive tax liabilities.
In a recent episode of her podcast, ‘misSPELLING,’ Spelling reflected on the divorce process, calling it ‘one of the easiest divorces in Hollywood.’ She expressed that despite their marital ups and downs, they experienced no problems during the dissolution of their marriage. Spelling credited their mutual commitment to setting a good example for their children as a key factor in the amicable settlement.
The former couple shares five children: Liam, 18; Stella, 17; Hattie, 14; Finn, 13; and Beau, 8. McDermott also has a 27-year-old son, Jack, from a previous relationship. The divorce documents outline custody arrangements, though specific details were not fully disclosed in the public filings. The financial revelations have drawn public attention to the challenges faced by celebrities in managing their finances post-divorce.
This case underscores the broader issues of debt management and financial transparency in high-profile divorces. The staggering amounts involved highlight how accumulated debts can persist and grow, even as incomes fluctuate. For Spelling and McDermott, the path forward involves addressing these obligations while co-parenting their children, a task they seem committed to handling cooperatively based on Spelling’s public statements.
