Roberta Williams has handed the keys to the Essendon home her husband Carl built to the ATO

ROBERTA Williams has handed to the taxman the keys to the house her slain ex-husband Carl built.

ROBERTA Williams has handed to the taxman the keys to the house her slain ex-husband Carl built.

Williams, who has spent the week moving from the Primrose St property in Essendon, lost a marathon battle with the Australian Taxation Office over the tax bill her former father-in-law George owed over his lifetime of earning money from drug trafficking.

The townhouse, valued at about a $1 million, is where she has raised her youngest two children — Dhakota and Giuseppe.

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“It’s sad,” she said. “There’s a lot of memories here. Some of them good, some not so good. But I guess it’s also a new start.”

The Williams, however, remain keen on staying at the property if the ATO is willing to drop more than $300,000 in interest it has charged during its drawn-out legal fight with George and then Roberta.

Roberta said documents she has show George’s tax debt was assessed at $160,000 for income earned from drug trafficking.

Home of Roberta Williams at the corner of Albion and Primrose St, Essendon.

It had ballooned to $576,000 when his son, Carl Williams negotiated with police to have it wiped.

Police reneged on the payout just prior to Williams’ brutal murder in Barwon Prison on April 19, 2010.

But the ATO stoush became complicated after George left the property to Dhakota Williams in his will, but also lumbered her with his tax debt after negotiating with the tax office to place a caveat over his Essendon property before he died of a heart attack after lugging a TV into his Broadmeadows house.

Roberta Williams (right) with daughter Dhakota. Picture: AAP

Dhakota is now suing the estate’s executers — her mother Roberta and George’s partner Kathleen Bourke — stating she was a dependent of George’s.

In the wrangling, Ms Bourke was able to keep George’s Broadmeadows property where Carl Williams was raised.

Ms Bourke is the sister of Barbara Williams, George’s wife.

Roberta represented herself during some Supreme Court hearings in an effort to appeal a decision, but lost the ruling.

George Williams, who died in 2016, and Roberta believed a deal made with Victoria Police to wipe the debt should have been honoured.

Slain underworld figure Carl Williams with daughter Dhakota.

Roberta said she has fought to keep the property, where the family has lived for most of the past decade, for her daughter

Earlier this year Roberta Williams told the Supreme Court she needed legal representation to help her in the matter.

A suite of incentives was offered to Carl Williams, including a negotiated 10-year cut to his sentence.

In a previous court hearing Roberta told a court: “Victoria Police made a deal with Carl to pay the tax debt, I’ve got the documents.”

George Williams enters the Coroners Court. Photo: Ellen Smith

“They reneged just before Carl was murdered. They got their money back. It’s appalling. Carl lost his life and for what?” she said.

According to the judgment handed down in March, then Deputy Commissioner Simon Overland, authorised a Victoria Police payment of the tax debt in 2009, but the deal was later blocked.

The judgement reads: “On March 17 2009, (Inspector Peter) Wilkins called (the ATO) and advised that Overland had OK’d the payment of George Williams’ tax debt.”