Comments Thread For: Pacquiao's Win Over Rios Overshadowed By Tax Dilemma

[thuggery]

He's a beloved icon both in the US and in his own country, he'll find a way to make it all right.

[ShoulderRoll]

They tried to, but they were fried once Arum/Koncz found out.

Yeah I remember. There's no legit reason why Arum should have had a problem with a reputable accounting firm looking over Manny's finances.

[rayb112]

Or maybe like the other 100 international fighters the network pays the IRS directly for them...you know that is possible...just wanted to point that out.

You mean withholdings...Manny obviously doesn't withhold taxes from his earnings. So its up to him to pay them accordingly

[techliam]

It sounds like Top Rank never paid his taxes for 2008 - 2009 but told the IRS that Pacquiao payed them to the Philippine BIR and then told Pacquiao to tell the BIR that he payed them to the US...and now the BIR is saying show me proof...I find it hard to believe that no one from Pacquiao's accountants, HBO, or Top Rank didn't get some type of receipt or letter from the IRS saying it was payed especially since Arum is a former Tax Attorney for the US Department of Justice. I mean lets be real 50 million in back taxes is no joke...I would think everybody involved would dot their I's and cross their T's. I also find it a little weird that Pacquiao would let Top Rank pay his tax's in the US when it's about 2 million less in the Philippines...

The US will take taxes in either situation. The "only tax in one country" is false in this case, as the US will tax him even if he paid the BIR, so hes better off just paying the US. That's why theres a treaty. You have to declare your taxes if you are an american living abroad too, the US is very greedy. He just needs the documents which i'm sure he can get, because like someone else said, he would have been brought up by now if he hadn't paid anything to the US.

I find it shocking that a tax thread is one of the most popular threads, just because its Pacquiao and we all suddenly become accountants. Boxing>taxes.

[ThatDude44]

yeah, thats pretty much it. If I am honest with you, to me it seems like pac does not want to give it, a simple question is, pac fought in the us in 2010, what did he present there to his country tax office that gave him the a ok?


it could also be what I read in a couple of articles
most likely it seems that his country want the original tax document from the irs which they will not give, thats what a few articles have suggested, if he is unable to provide the original, then pac has to pay them big bucks, looks like the tax system is trying to cheat pac out of some money imo

but it could be he just needs certified copies as you said but he has not given them

I heard he also had a similar issue in 2010, eventually it was dropped when he provided the documents, that is what will happen here imo

Good question about what he presented in 2010 to get cleared. I don't know that one. However, this time around he can take a copy to the IRS and get it certified which is all they need if this article is true.

[ThatDude44]

He thinks daddy Arum can make it all go away. And by the looks of it Bob has encouraged this kind of dependence on him.

Exactly, he thinks it's as simple as showing up to school with a bogus doctor's note. That's what I compare it to.

[rayb112]

It's interesting you mention this because I remember a long time ago their was an interview with Ellerbe about a possible Mayweather/Pacquiao fight.

He said that it was Arum who did not want the fight. Not because Pacquiao or anyone was afraid of the fight, but because Arum knew that when real negotiations started between Mayweather and Pacquiao, the books would be open and Pacquiao would be able to see how much Mayweather takes home from his PPV's. Manny would then compare that to his purse and see how much Arum has been screwing him over the years.

The US will take taxes in either situation. The "only tax in one country" is false in this case, as the US will tax him even if he paid the BIR, so hes better off just paying the US. That's why theres a treaty. You have to declare your taxes if you are an american living abroad too, the US is very greedy. He just needs the documents which i'm sure he can get, because like someone else said, he would have been brought up by now if he hadn't paid anything to the US.

I find it shocking that a tax thread is one of the most popular threads, just because its Pacquiao and we all suddenly become accountants. Boxing>taxes.

What do you mean the US takes taxes in either situation??? Manny doesn't have taxes withheld from his purses so it's up to him or his company to pay the taxes. And what's the point of the treaty if there gonna tax him anyways??? Isn't that what the treaty is for??? So you don't get taxed twice???

[radioraheem]

The US will take taxes in either situation. The "only tax in one country" is false in this case, as the US will tax him even if he paid the BIR, so hes better off just paying the US. That's why theres a treaty. You have to declare your taxes if you are an american living abroad too, the US is very greedy. He just needs the documents which i'm sure he can get, because like someone else said, he would have been brought up by now if he hadn't paid anything to the US.

I find it shocking that a tax thread is one of the most popular threads, just because its Pacquiao and we all suddenly become accountants. Boxing>taxes.

You shouldn't be shocked by that on this forum.

When it comes to money, a large number of posters think they are lawyers, accountants, promoters, bankers, etc. They seemingly care more about Floyd Mayweather and Manny Pacquaio's money more their own money! They calculate how much money they'll make in a year or several years, more than they earn in their own lives.

You'll see this from time to time. You watch come April and May 2014.

As for U.S. tax, yes, they are very, very greedy. US charges like the highest corporate tax in the world.

[techliam]

What do you mean the US takes taxes in either situation??? Manny doesn't have taxes withheld from his purses so it's up to him or his company to pay the taxes. And what's the point of the treaty if there gonna tax him anyways??? Isn't that what the treaty is for??? So you don't get taxed twice???

The treaty is so the US can continue to tax someone without their home country taxing them too. It's pretty one-sided, as far as I know. If you make money in the US, youll be US-taxed on it. I'm not an accountant or anything, but my american friends relatives have problems like this all the time, even though they don't even live there

[radioraheem]

A couple of questions come to mind about this situation:

1. Why did Pacquaio have to borrow $22,000 to help the typhoon victims prior to his fight with Rios? According to Bob Arum, he pays Pacquaio $20 to $30 million per fight. How can a fighter, who fights twice a year and supposedly earns $40 to $60 million per year, in addition to the money he earns from endorsements, be so broke that he has to borrow $22,000? If he makes as much as Arum claims and his worshippers believe, Pac should have more money than that in his wall safe at home.

2. Where is the alleged $18 million in guaranteed money that Arum claimed he was paying Pacquiaio? Is he hiding the check under his mattress? He didn't deposit it in his Phillipines account because, according to a story on a different site, Pac has only $25,200 in his two Filipino bank accounts. If he deposited it in his U.S. account or another foreign bank, he should have access to that money and shouldn't have to ask the Filipino govt. to unfreeze his accounts.

3. How is it possible that a man who makes this much money has only $25,200 in his bank accounts as reported on another web site?


I can't wait to see the Pac fans scrambling to answer these questions with their nonsensical rants.

Those are very great questions. Great questions. The situation is kinda incredible.

But it does shed light into reports from both Freddie Roach and VisionQwest. Roach said Pacquaio is bad with money and blows it all. And that Pacquaio would end up fighting for a long time. Then VisionQwest reported all sorts of funny things going on with him financially. I read before that Pacquaio would get advances on his purse before a fight took place -- because he was broke.

Based on things like that, it's not too surprising to hear he had to borrow $25K. That is still crazy though. I mean, they say he has 22 bank accounts and only 2 of them have any money?