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Ya'll love talking about Floyd's money so read this here. I keep on trying to tell you Floyd fans...Pacquiao is NOT an American citizen. He is born in a 3rd world country with only an elementary school education that's getting $20M US guaranteed. Who REALLY came from the struggle??
Y'all criticize him for being "Arum's bitch" but he HAS to. The REAL reason why he didn't take Floyd's test is because he's only allowed a certain # of days per year in the US.
If Manny agreed to USADA testing he would have had to fly to the US every time Floyd...I mean Richard Schaefer...I mean USADA asked Manny for a "random" test. Not only would that fuck with Pacquiao's business, but it would fuck up his training camp. With VADA handling the testing of his fight Rios (http://www.fighthype.com/news/article14397.html), VADA will fly to him or Manny will fly to China. He's fighting in Asia, HIS territory, not Arum's. I say it's a step for him "being his own."
http://www.atr.org/pacquiao-takes-fight-macau-u-s-a7603
Pacquiao Takes Fight in Macau, U.S. Federal Income Tax Rate Proves Too High
Boxing Superstar's Next Fight Will Be Outside the U.S.
As reported by Yahoo! Sports, boxing superstar Manny Pacquiaos next fight will take place on November 24; however, for the first time since 2006, the fight will take place outside of the U.S. The official destination of this multimillion dollar sporting event is The Venetian in Macau, China.
As ATR reported in February, the possibility of Pacquiaos next fight not taking place on U.S. soil due to a punitive federal income tax rate of 39.6 percent was greater than most would suspect.
As boxing promoter Bob Arum told Yahoo! Sports in February, Manny can go back to Las Vegas and make $25 million, but how much of it will he end up with $15 million?"
Clearly, the answer is less than what he stands to earn after taxes in Macau.
By holding his next fight in Macau, Pacquiao would only be responsible for a top marginal income tax rate of 12 percent - thats a whopping 27.6 percent less than the U.S. top marginal federal income tax rate.
As ATR wrote in February:
Since Pacquiao is not a U.S. citizen or permanent resident, he can keep a larger percentage of his fight earnings by taking fights outside of the U.S. The other options Pacquiao and his management team have considered are Macau and Singapore: both casino and gaming markets comparable to Las Vegas and ideal to host a grand boxing event.
If Pacquiao were to earn a hypothetical $20 million for this upcoming fight in Macau, his after tax earnings would be $17.6 million as opposed to the $12.1 million he would earn for the same proposed scenario in the U.S.
The loss of major athletic and sporting events will have economic repercussions on the American economy specifically tourism.
Fewer boxing matches per year would mean fewer vendors, a decrease in tourism, and less money being spent in host cities. Hosting a major sporting event has proven to create jobs and insert economic life within the city. The federal government needs to follow the examples being set by GOP governors seeking to reduce their respective states income tax burden or risk losing investments across every industry.
Pacquiaos decision to fight in Macau will establish a trend among other non-resident boxers or any athlete that is a non-resident of the U.S. for that matter - seeking to earn more money during their relatively short professional careers.
Simply put, tax rates matter to everyone regardless of earnings. In Pacquiaos case, his chief advisor, Michael Koncz said it best,
the 39.6 percent tax rate Pacquiao would face if he were to fight again in the U.S. makes a fall bout in Las Vegas "a no go."
Read more: http://atr.org/pacquiao-takes-fight-macau-u-s-a7603#ixzz2T2I6EmUa
Follow us: @taxreformer on Twitter
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