Walcott - Marciano I Purse

[Dempsey-Louis]

I am curious, does the 'net receipts' paid out to the fighters, as personal income, get taxed again? Or is the IRS just gabbing their's up front because they know fighters don't pay?

No doubt by any measure of inflation Mayweather Jr. is making considerably more money than Walcott could have ever hoped to make. ($188,000 to $180 million)

[OctoberRed]

usually grabbed up front. Just looking at that is why major fights dont go to NY. You get hit with federal, state and city

[Ray*]

Wow, nice topic/find. Federal, state and city tax? That is just plain greed...

[OctoberRed]

Wow, nice topic/find. Federal, state and city tax? That is just plain greed...

That's a big reason why fights go to Texas and Las Vegas - no city or state tax.

[Ray*]

That's a big reason why fights go to Texas and Las Vegas - no city or state tax.

There is no way fighters would want to fight there with that foresight.

[Dempsey-Louis]

Here is an odd twist:

Back when the Miami Heat were trying to steal Lebron James from Cleveland one of the advantages the Heat had in negotiations was that James, because Florida does not have a State Income tax, wouldn't have to pay a State tax for 41 of his games (Florida is one of only six States without a state income tax, I believe).

When you consider James' salary that translated into millions of dollars. It was no small thing.

It is strange law but if a Heat/Dolphin/Marlin player plays a game in New York, that game's salary is subject to the taxes associated with New York because that is where the salary was earned. The same works in reverse, a Met or Yankee playing the Marlins in Florida does not have to pay the New York State tax for those games. They can claim they earned the money out of State, or so that is what our evening news (I am in South Florida.) told us back when the Heat was in the process of stealing James. I am not 100 percent certain this is correct but it was what everyone was saying at the time.

I think you guys are correct I suspect that the New York tax situation probably scares off fighters.

[Anthony342]

I find it ironic that a sport with the manly reputation of boxing has men fighting over something called a "purse".

[Dempsey-Louis]

London Prize Ring Rules (1853)

Rule 23

The battle-money shall remain in the hands of the stakeholder until fairly won or lost . . .

Lets go back to using 'battle-money'

[billeau2]

Here is an odd twist:

Back when the Miami Heat were trying to steal Lebron James from Cleveland one of the advantages the Heat had in negotiations was that James, because Florida does not have a State Income tax, wouldn't have to pay a State tax for 41 of his games (Florida is one of only six States without a state income tax, I believe).

When you consider James' salary that translated into millions of dollars. It was no small thing.

It is strange law but if a Heat/Dolphin/Marlin player plays a game in New York, that game's salary is subject to the taxes associated with New York because that is where the salary was earned. The same works in reverse, a Met or Yankee playing the Marlins in Florida does not have to pay the New York State tax for those games. They can claim they earned the money out of State, or so that is what our evening news (I am in South Florida.) told us back when the Heat was in the process of stealing James. I am not 100 percent certain this is correct but it was what everyone was saying at the time.

I think you guys are correct I suspect that the New York tax situation probably scares off fighters.

Heres what happens: We live in a government that when seeing after its own interests does not care about the consequences. I say this because, athletes are one of those positions where every last dime made is on the table. And as far as expenses? Well... your body is not subject to the same depreciation that a piece of real estate is...So this is how it goes down if you play a team sport:

EVERY state gets to take taxes out. And it is considerable. As far as a boxer's take? well, when the IRS takes its initial chunk, your going to either, spend some of that money and pay sales tax, save some of that money and pay capital gains tax. So whether they get it initially as seed money (before) or after your take (when it comes out and its your chunk) does not matter.

Thats why athletes go broke! The only way around it is to take the money and invest in businesses and real estate that creates a profit and can be mortgaged to the hilt for property tax deductions and for mortgage payments. Or, whole Life Insurance contracts which they tell you is such a bad idea (yeah bad idea for them lol), but which you can actually tax defer for eternity!

https://www.si.com/nfl/2015/04/10/pr...athletes-taxes

[billeau2]

Wow, nice topic/find. Federal, state and city tax? That is just plain greed...

Dear Ray
that is like saying child ******ers are bad people... The IRS has been destroying good Americans for decades, whether it the farm that can't pay the taxes, the athletes who cannot possibly know the tax burdens involved, or any other number of victims, the IRS actually gets ignoramuses to shout from the rafters "well they should pay their taxes" to which I would love to see these people win the lottery and then get less than half their winnings. Makes ya feel or tingly inside doesn't it? I would not even play the lottery for entertainment out of principle. If the IRS wants half the winnings pay half the ticket!

I have been saying this for years: If one really looks at what athletes actually pay out in taxes, they work for the government.