The IRS is currently demanding boxer Floyd Mayweather Jr. pay his outstanding 2015 federal income taxes, amounting to about $22.2 million. In response, the boxer, who goes by the nickname “Money,” has filed a Tax Court petition requesting the IRS to grant him more time to settle his outstanding tax liability. However, tax lien documents from the IRS indicate that the boxer has been either unable or unwilling to pay his taxes on time over the past decade or so. In fact, the IRS has filed over two dozen liens and releases from those liens in Clark County, Nev., in Floyd Mayweather’s name since 2004. The lien documents reveal Floyd Mayweather has owed the IRS $3.1 million, $7.1 million and $6.1 million in outstanding taxes at various points. Despite earning hundreds of millions of dollars from fights and establishing his own boxing promotional firm, the boxer regularly accumulates huge tax debts, some of which have gone unpaid, according to public tax records, and this could have far-reaching consequences for the boxer.
Mayweather’s “Money” Persona
Floyd’s brand portrays him as being ridiculously wealthy to the point that he doesn’t give much thought to spending enormous amounts of money on expensive things, such as limited edition supercars. For instance, at one point in an interview with Stephen A. Smith, the boxer says his Bugatti is a “cheap” Bugatti because, according to the boxer, it is not the most expensive Buggatti money can buy. The Mayweather persona is about wealth and unlimited amount of money as much as it is about boxing. In fact, Mayweather calls his company, crew and lifestyle gear “The Money Team.” However, whether Floyd Mayweather is actually obscenely wealthy or just pretends to be, the reality is the boxer has failed to settle his tax obligations on several occasions since 2004. Public records from Clark County, Nev., show that the IRS filed tax liens against Floyd Mayweather in 2007, 2008, 2011 and 2012. The records also show the corresponding releases for these liens. However, the IRS has filed another lien this year (2017) against the boxer, claiming the boxer has not settled his 2015 tax obligations in full. In total, the IRS is demanding about $22.2 million from Floyd Mayweather.
It is important to note that the existence of these liens does not necessarily prove Floyd “Money” Mayweather is broke. Put another way, a person can be cash-poor but own high value assets such as valuable art collections, property and stocks. It is an open secret that Floyd Mayweather has plenty of high value assets that the IRS can put a lien on, such as his collection of expensive supercars. Still, someone who claims to be rich beyond imagination and whose brand revolves around money should be willing and able to pay his taxes on time. The boxer’s PR team has found a way to put a positive spin on the issue, with Mayweather’s tax attorney, Jeffrey Morse, recently telling Fight Hype, an online news resource, that this is a strategy for Mayweather to make more money. According to Morse, Mayweather’s decision to defer his taxes enables him to invest his money and get a return that far exceeds what he owes the IRS in interest. Morse stressed his client pays his taxes faithfully and he hasn’t done anything illegal in regards to deferring his taxes.
Public records from the Clark County, Nev. Office show Floyd “Money” Mayweather has had a long history of failing to pay his taxes on time. Despite this, the IRS has always released liens against the boxer. The IRS has issued another lien against the boxer this year (2017) in an attempt to recover a $22.2 million tax debt from the boxer dating back to 2015.
People often get surprised when they hear about celebrities being punished for tax evasion. One might assume that celebrities with all their popularity are treated differently from other citizens, however our tax attorneys can tell you that nothing could...read more
Ivanka Trump may finally have a chance to make her mark in shaping American policy. Since formally joining her father's administration, Ivanka Trump has yet to have any strong influence in making any major policy decisions, but that could all change with...read more
The largest group of real estate agents in California has cautioned that a tax reform proposal made by Republicans would diminish the appeal of purchasing a home in the Golden State. However, it has since been pointed out by economists that the...read more