Pacquiao’s bank accounts frozen due to unpaid Filipino tax debt
November 27, 2013
The AP reports that the Bureau of Internal Revenue in the Philippines has frozen the bank accounts of Manny Pacquiao. The Filipino tax authorities claim the fighter owes 2.2 billion pesos ($50 million) in unpaid taxes.
The news of the frozen accounts comes just after Pacquiao’s return to the ring where he defeated Brandon Rios. He is guaranteed $18 million from the fight and could make $30 million.
Pacquiao dedicated the fight to the typhoon victims of the Philippines and promised aid to the victims. But, Pacquiao had to borrow 1 million pesos ($22,700) to purchase relief supplies and pledged to borrow more.
Unfortunately, Pacquiao’s story is going down the road of Mike Tyson and Evander Holyfield; boxers who have made millions in the ring but face financial setbacks outside. Hopefully for Pacquiao, who has reportedly made $300 million from his boxing earnings alone, his fate won’t end in bankruptcy. The frozen bank accounts appear to be temporary but if he has not paid his taxes, most of his recent fight purse will go to those unpaid taxes. How this will affect Pacquiao? We may see him fight past his prime in order to get current with his debts and obligations. This may also see him fighting in Macau and other places outside of the U.S. where he’d have to pay almost 40% of his pay to the IRS.