I am sure with the money he is earning, that he has some tax investment guru's working on his behalf, exploring all the tax loop holes, and tax havens off shore that he can legally benefit from.
He recently stated that it was his intention to turn $100M into a billion dollars with the help of his good buddy an investments billionaire...
Floyd Mayweather Jr. is not exempted to the existing taxation. A little less than 40% of his earning goes to tax. There are some tax shelter that can be used but this is very tricky. My matter how good his tax people were, he better watch it carefully because it is him who will get the burden and not the tax people. He once got problem with the IRS that was fix by Oscar and I am sure he learned his lesson.
Menny Pacquiao is more on a complex taxation because of him being a foreigner. He was being tax in the Philippines as well as subject to tax again on all his earnings in the US by the US government. Just think how much tax he is paying totally.
I'm not sure of the exact percentage, but the main reason Floyd always fights in Las Vegas is b/c there's no state tax in Nevada.
Therefore he keeps A LOT more money than he would in say NY, where the state tax is extremely high.
If Pacquiao who is not an American citizen claims that he is taxed properly by the IRS, what more of Mayweather who is an American and lives all his life in the USA?
I suspect that among the main reasons Floyd decided to manage and promote himself is not only to ensure that he gets the most out of his income from his boxing profession but also that it is taxed correctly.
The reason why erstwhile successful fighters from the time of Joe Louis to Mike Tyson got into tax trouble with the IRS was that their promoters and managers cheated on them.
That could also be the reason Manny Pacquiao is having problems with Philippine tax authorities regarding his income from fights held in the USA. Arum and company might be hiding something from him as his former promoter Murad Muhammad blatantly did.
Here is the dilemma of a Filipino earning money outside his country. That country where he is earning taxes his earnings. Afterwards, the Philippine Government taxes him as well. Therefore, however much the taxes are, Floyd is definitely taxed less.
Most rich people have tax attorneys to pay the least amount they can.
Anyone worth that much money can shelter most of it so either the tax is avoided or deferred.
We all usually hear about Manny being Taxed with 39.6%. The reason why he is fighting in Macau who has 12% tax only. I noticed while floyd has been involved in multiple tax cases. I never read an article explaining on how much US tax floyd.
