Comments Thread For: Mayweather: I Gave IRS $26 Million in 2015, My Empire Rock Solid!

[Scipio2009]

Tax offsets for what ?

please quote the relevant legislature.

Floyd Mayweather, in all likelihood, doesn't file personal income taxes for the bulk of his income. Whether it's some business accounts, LLCs, his non-profit foundation or other tax preferential classes (real estate investment has it's own rules, as do annuities, bonds, CDs, etc), there are multiple different ways to have the tax burden far lower than people expect.

As one example, in the general tax code, the provisions are in place for someone who gambles a lot, regularly and at certain amounts, to have that ******** activity treated as a "******** business", where records can be kept and any losses can be carried forward (to offset the taxability of any winnings, up through when Total winnings exceed total losses).

With Floyd running his betting out of one sports book, the thresholds are a bit unclear to me, but Floyd could lose $10m, win $5m, and not pay any tax on any of the winnings (with a carry forward to also offset the taxes owed on another $5m in winnings).

Another example would be the use of the LLCs; as a corporate entity, Floyd's LLC has a tax rate well below the personal income tax rate. Running everything through his LLC, Floyd would also have the ability to fully expense all camp expenses directly against any revenue that would be paid into the LLC for Floyd.

Floyd Mayweather LLC gets paid $150m as the take on a fight, Floyd Mayweather LLC spent $50m in expenses (Haymon's fee, Big Floyd's trainer fee, camp expenses, marketing material for Floyd, etc), the feds then count the LLC's realized income at $100m, which then gets taxed at the LLC rate, of 28% I believe.

Floyd doesn't fill out a 1040, in all likelihood; if he does, it'll likely only be for what he gets in appearance fee, deducted against whatever money he puts out to help support his children and their mothers.

Tax code can get wild once you start delving into it

[Gillie]

I seriously doubt that Floyd used the word "discrepancy" in his quote.

[Scipio2009]

well we know for a fact a court exemption was filed so is Mayweather saying that was a lie?

If everyone is being honest, Floyd paid a total of $26m in federal taxes in 2015, there's an amount of tax for that year's income that still needs to be settled being what Floyd's already paid, and Floyd's camp wants to wait until September to pay that balance, rather than mess with any of the money invested that he has now (feds want that remaining balance yesterday, tbh).

[Scipio2009]

The Article says he paid $26mil.

A simple google search showed Forbes estimates he earned $300mil in 2015.

A simple online tax calculator will show that Federal taxes on 300mil income in 2015 in Nevada were around 118mil.

Leaving a tax debt of $94mil.

TMT - Transfer More Tax.

The fact that you believe that Floyd paid personal income tax on $300m in income is laughable.

[MisanthropicNY]

Donald ***** is wealthy....and hasn't paid taxes in years. Let that sink in while you research tax law and understand that because of tax shelters and estate laws, wealthy people are in a net lower tax bracket that regular people. Onlinetax estimators are a joke for people with diversified income and investment portfolios.

So desperate to defend his God Floyd that he even brought up Donald *****

You've seen *****'s tax returns, really? Shiiit, you provide those to the ******* media and they'd make you rich if that were true.

Grow up lol.

[Scipio2009]

Yeah, there's all sorts of ways to offset taxes such as creating phoney charities and business registrations and all sorts of things. Hardly anybody making big money is paying the relevant amount of tax.

You need to remember that most of this forum still live with their parents and don't really understand anything about this kind of thing

Charities don't necessarily have to be phony. Floyd spends a lot of money, low-key supporting a lot of causes in Las Vegas; rather than simply showing up and dumping a bag, Floyd has his tax lawyer set up the formal structure, Floyd spends the money that he was going to send anyway, and the feds thank him (for doing what he was doing anyway) with a write-off.

[Shape up]

TRANSFER MORE TAX, that's an absolute classic

[Eff Pandas]

LOL wut?!?!. Didn't he made a quarter billion or more?
[IMG]//media.*****.com/media/zFTCF4qaN4qGY/*****.gif[/IMG]

[TheBigLug]

Charities don't necessarily have to be phony. Floyd spends a lot of money, low-key supporting a lot of causes in Las Vegas; rather than simply showing up and dumping a bag, Floyd has his tax lawyer set up the formal structure, Floyd spends the money that he was going to send anyway, and the feds thank him (for doing what he was doing anyway) with a write-off.

I'm just saying plenty of people set up charities for tax purposes taking advice from advisors, rather than because they're charitable. I'm not saying they're phoney in the sense they don't do actually do the charity because they do, i'm saying the intention is often phoney but there's nothing illegal about that.

I'm not saying Floyd is or isn't, i don't know the man but in general it happens a lot.

I used to work for the HMRC in the UK, which is the equivalent to the IRS in the USA. I know almost every trick in the book when it comes tax loopholes and how to legally do it. Not that i earn enough to make it worthwhile for myself haha but it's understandable why people with hundreds of millions and billionaire's do it.

[Scary]

Sounds to me like Floyd is thinking he can just throw them some millions. Like, 26 mil is enough. This could get out of control for him.