There will be no double taxation on Manny Pacquiao’s multi-billion peso earnings from his recent fight with Floyd Mayweather Jr. in Las Vegas.
This was assured by a top official of the Bureau of Internal Revenue (BIR) saying all Pacquiao has to do is to report earnings from Sunday’s bout for tax compliance by presenting from the Internal Revenue Service (IRS) of the United States showing the taxes he paid there. After computing the tax due from his taxable income from within and outside the Philippines, the tax he paid in the US will be credited against his tax due in the Philippines.
A BIR revenue regional director said Pacquiao is also entitled to claim tax deductions for transportation and accommodation expenses as well as payments to coaches, trainers and other aides. Pacquiao’s earnings from the Las Vegas fight is estimated at around $100 million or about P4 billion.