A lien has been placed on Riley Keough and husband Ben Smith-Petersen’s former Woodland Hills home after they allegedly failed to pay off their 2021 state taxes.
The couple still owe thousands in state taxes, the outlet reports.
The bill will continue to amass interest and fees until the full amount is paid off, the Tax Board warned.
Keough, 34, who is the granddaughter of rock legend Elvis Presley and Priscilla Presley, has been married to stuntman and actor Ben since 2015. They welcomed their first child together via surrogate last year, daughter Tupelo Storm Smith-Petersen.
The tax lien comes not long after Riley overcame another legal battle following the death of her mother, Lisa Marie Presley.
A judge recently approved Keough and her grandmother Priscilla Presley’s settlement, 10 months after Lisa Marie’s death.
The two had reached a settlement agreement months ago which resulted in the Daisy Jones And The Six actress becoming sole trustee of her late mother’s estate and owning the iconic Memphis, Tennessee mansion Graceland.
The 78-year-old former Mrs. Elvis Presley will receive a $1million lump-sum payments which were funded by Lisa Marie’s life insurance policy in the settlement recently officially approved by a Los Angeles Superior Court judge according to documents obtained by People.
In addition her son Navarone Garibaldi will be a beneficiary of Lisa Marie’s trust as well and perhaps most importantly of all, Priscilla will be buried near her ex Elvis at Graceland when she passes away.
Terms of the settlement have been reported over the past few months but the weekly publication had obtained a unredacted copy of the agreement after Riley’s attorney Justin Gold filed for it.
People reports that in addition to the aforementioned lump-sum payment, Priscilla will also be paid $100K-a-year for her role as a special advisor ‘for her role as special advisor of the promenade trust related to its shareholder interest in Elvis Presley Enterprises, a non-fiduciary role.’
According to the paperwork, those payments will be dispersed in monthly installments which are guaranteed for 10 years or Priscilla’s death regardless whether or not Riley ever terminates Priscilla’s special advisor role.
Lisa Marie died back in January after suffering cardiac arrest at her Calabasas, California home.
It was later found that she died from a ‘small bowel obstruction’ caused by a bariatric surgery that she had undergone according to the autopsy.
Back in August, Riley was named the sole trustee of the family estate as she now owns Graceland, after a battle with her grandma Priscilla.
The appointment was approved during a hearing before Los Angeles Superior Court Judge Lynn Healey Scaduto, Deadline reported.
Her grandmother had filed a petition to challenge the validity of her late daughter Lisa Marie Presley’s will in January
The two had been at loggerheads since the death of Lisa Marie in January of this year at the age of 54. Riley is Elvis’ oldest surviving grandchild; her brother Benjamin killed himself three years ago and she has two 15-year-old half-sisters, Harper and Finley Lockwood.
The legal action disputed a 2016 amendment to Lisa Marie’s will that excised Priscilla as trustee of the estate.
Attorneys for Priscilla said she only became aware of the amendment after the death of her daughter.
The amendment removed Priscilla and Lisa Marie’s former business manager Barry Siegel, and replaced them with Lisa Marie’s children Riley and Benjamin Keough.
Benjamin died in 2020 after shooting himself dead in the family’s mansion, with sources revealing he had been struggling at the time.
Keough reached an agreement with her grandmother in June of this year, and agreed to pay her $1.4 million.
She will now preside over the sub-trusts for her half sisters Harper and Finley – the daughters of Lisa Marie and her fourth husband, Michael Lockwood.
For her role, Priscilla will be a special adviser to the trusts and receive a monthly payment for her role.
Priscilla will also be allowed to be buried at Graceland, the Memphis home of Elvis Presley, which Keough will now own.
Keough’s lawyer had previously said she would invest the money ‘in a manner consistent with the needs of the beneficiaries, and not influenced by the desire of a Trustee.’
The whole rancorous legal battle came in the wake of the death of Lisa Marie who died suddenly at the age of 54 at her Calabasas home.
Sources close to Keough previously told DailyMail.com that she was ‘still grieving’ the loss of her mom and was angry when her grandmother filed a legal challenge to the will.
When the legal tussle broke out between Keough and Priscilla, Keough ‘was hoping they could reach a settlement quickly,’ the source added.
The source said the tension with Priscilla ‘has been very tough for’ Keough, who is mother to a baby daughter with husband Ben Smith-Petersen.
Keough always supported her mother during her drawn out, often nasty divorce and child custody disputes with her fourth husband, musician Michael Lockwood, 62, father of Lisa Marie’s twins, Finley and Harper.
It’s been reported that Priscilla and Lisa Marie were ‘barely speaking’ just before the latter’s death after Priscilla sided with Lockwood over custody of the twins.
Multiple sources told People that the mother and daughter were not on speaking terms, despite appearing at multiple events together, including the premiere for the Elvis biopic starring Austin Butler.
‘Riley was always on her mom’s side when it came to Michael (Lockwood),’ one source told the magazine. ‘It bothered her that her grandmother and Michael flew to (Lisa Marie’s) funeral together.’