Method Man Payed Uncle Sam

Wu-Tang Clan's Method Man has reportedly avoided serving time behind bars by paying $106,000 in a tax evasion settlement.

The rapper pleaded guilty today (June 28) to avoid jail.

Method Man just lost a six-figure battle with the Tax Man -- after pleading guilty today to one misdemeanor charge of attempted failure to pay taxes. According to the court, Method -- who was arrested on October 9, 2009 for the offense -- avoided jail time by paying his $106,000 tab ... and was sentenced to a conditional discharge. (TMZ)

He reportedly faced the possibility of serving four years behind bars.

'Method Man' was sentenced to a conditional discharge, which means the arrest will be purged from his record if he stays out of trouble. He could have faced four years in prison. His attorney, Peter Frankel, says when the star learned of the tax issue he immediately corrected it. (My Fox NY)

Attorneys on both sides shared their post-case reactions.

"When he found out about the tax issue he hired someone and immediately corrected it," defense attorney Peter Frankel said. "He took care of it quickly like the good member of our community he is." Prosecutors said when people cheat on their taxes, other New Yorkers have to foot the cost. "In these days of massive budget shortfalls and service cuts, tax evasion is a crime against all New Yorkers," Richmond County District Attorney Daniel Donovan said. "Whether you are a celebrity or an average Joe, you will be investigated, arrested and prosecuted." (Associated Press)

Last year, the rapper's truck was repossessed by the government due to his tax problems.

The repo man got Method Man. The state Department of Taxation seized a 2008 Lincoln Navigator belonging to the rapper and member of the Wu-Tang Clan, who failed to pay $52,503 in personal income taxes. The luxury SUV was taken at 6 a.m. Wednesday (March 18) from Method Man's Staten Island, New York home. (New York Post)