Tax bill soars to £700k

By Dan Wootton

BROKE Kerry Katona CAN'T pay the taxman a £200,000 bill due by Christmas—and she owes HALF A MILLION quid on top of that, the News of the World can reveal.

The coke-snorting telly ad star is going to court to BEG for more time to try and find the money in a desperate bid to avoid being made bankrupt.

Delay

It comes at a worrying time for Kerry, who this week blurted out on live TV that she couldn't promise not to turn to drugs again.

Kerry—pregnant with her fourth child—has a £700,000 tax debt and must pay the first instalment of £200,000 soon.

But lawyers for the troubled face of Iceland are trying to delay the payments until after the New Year.

Kerry, 27, hopes by then she'll be paid for her new reality MTV show, Crazy In Love, in which she stars alongside her hubby Mark Croft, 37.

A source revealed: "Kerry simply hasn't got the cash to pay. Her finances are a complete mess and the situation has become very serious indeed.

"It's a real prospect that she'll be declared bankrupt."

The ex-Atomic Kitten's debt crisis—which we revealed last month—could mean she ends up owing more than ONE MILLION pounds.

The source confirmed: "There's interest being run up on what Kerry owes, so the bill gets bigger and bigger."

The figures mean Kerry could end up losing her fancy £1.2million home in Wilmslow, Cheshire.

The source added: "Kerry is facing a funding emergency and is so away with the fairies that she doesn't know how to cope. She doesn't fully grasp the seriousness of the situation."

"She just spends what comes in and doesn't put any aside for the taxman."

And this week Kerry shocked viewers of BBC 1 chatshow Friday Night With Jonathan Ross by confessing that drugs may still be a problem for her.

She told the stunned host: "I can't honestly hold my hands up and say, ‘I won't touch a drug again'.

"I don't know what's gonna happen tomorrow. I can never say never. I really can't."