Michael Jackson pays the taxes on his Neverland ranch

Michael Jackson has finally paid the taxes on his Neverland ranch - but is still in danger of losing the property to foreclosure.

The former King of Pop has coughed up a staggering $600,000 in property taxes on Neverland, which is in Los Olivos, California.

According to records in Santa Barbara County, Jackson finally satisfied a state tax lien on the all-but-abandoned Neverland.

The total, according to the assessor's office, came to just over $600,000, including penalties and fees.

However, the payment doesn't cover the $23 million for which Jacko is still in default on loans he's taken against Neverland since last April.

Fortress Investments is now two weeks past its foreclosure deadline, which means it could start proceedings against Jacko at any time.

But rumours sweeping Hollywood suggest that the singer may have arranged for a time extension through his former pal and billionaire Ron Burkle.

It was revealed last November that Jacko was set to wave bye bye to Neverland after he missed a string of loans payments.

According to a foreclosure report Jacko owed the property taxes which started out at $200,000 just to $600,000 because of non-payment penalties and interest.

His total loan, taken out in April last year, is a staggering $23 million.

Jacko, 49, moved out of Neverland and vowed to never return after he was accused - and cleared - of child abuse allegations.

He said the ranch brought back too many bad memories for him to continue living there. In its heyday, Neverland was abuzz with life - and attractions such a zoo and a fairground on its extensive grounds.

But now the majority of the estate has shut down, most of the animals are gone, and a lone guard monitors the gated driveway.

The foreclosure notice is not the only financial problems facing Michael Jackson.

The star still faces a $7 million lawsuit from Prince Abdullah of Bahrain after he allegedly reneged on a recording contract, but kept the upfront money.

But it is hard to believe that Jacko is struggling for cash.

The singer owns a 50 percent stake in Sony/ATV Music Publishing, including the Beatles catalog, which has an estimated value of $600 million.

If Jacko were to declare bankruptcy, however, that stake would be liquidated and auctioned to the highest bidder.

Meanwhile, a Jacko appearance at the Grammys this Sunday still remains a question mark.

He is reportedly simply is not prepared to perform in any way but he may be acknowledged in some form for the 25th anniversary of "Thriller."