A licence to print money, pay tax for Mayweather
FIGHT ON AUGUST 26 EXPECTED TO ACCRUE NINE-FIGURE REVENUE
W e thought we already knew why Floyd Mayweather was coming out of retirement to fight Conor McGregor.
He had stated that he would not do so for less than $100 million (Dh367 million), and the UFC superstar provided the grabby name for just such a payday, while McGregor’s complete inexperience in a boxing-only matchup would likely help Mayweather boost his record to 50-0.
But a new reason emerged on Monday: Mayweather needs some help in paying his 2015 tax bill.
That’s according to Forbes, which reported that the boxer filed a petition with US Tax Court to forestall any action on those IRS-related liabilities until after the McGregor fight, scheduled for August 26.
Mayweather has asked US authorities for more time to pay his 2015 tax bill, the year of his money-spinning mega-fight with Manny Pacquiao, filings showed.
Cash flow would improve after the McGregor bout.
Asking for waiver
The event is expected to generate hundreds of millions in total revenue, with Mayweather earning a nine-figure sum, much as he did for fighting Manny Pacquiao in May 2015.
Although the 40-year-old pocketed a mammoth $220 million for his May 2015 bout with Pacquiao, a filing to the Internal Revenue Service posted by the Law360.com said Mayweather’s assets were mostly “illiquid”.
“Although [Mayweather] has substantial assets, those assets are restricted and primarily illiquid,” the petition, filed last week, states.
“The taxpayer has a significant liquidity event scheduled in about 60 days from which he intends to pay the balance of the 2015 tax liability due and outstanding.”
Mayweather is also asking for the IRS to waive certain failure-to-pay penalties, but the IRS’s position is that he has the ability to settle the bill by selling off a few of his assets.
The agency has had several interactions with Mayweather in the past, reportedly filing liens against him at least five times since 2001.
Mayweather, who goes by the nickname “Money” and licenses a slogan, “The Money Team,” on merchandise, frequently flaunts his wealth on his social-media accounts. That often includes showing off huge amounts of cash, as well as expensive cars and massive wagers on sports events.
Monday also brought word that the May weatherMcGregor fight pay-per-view will cost $89.95, plus an extra $10 to watch it in high definition. That is the same amount as was charged for the Pacquiao fight, which left many viewers feeling very unhappy, given the desultory nature of that contest, won by Mayweather in a unanimous decision.
Fight fans can only hope that the McGregor bout offers more excitement, even if the Irishman comes in as a major underdog.
The star power involved makes the event impossible to ignore, but it’s not exactly a major selling point that Mayweather may only be returning to the ring to get the IRS off his back without sacrificing any of his fleet of luxury vehicles.