Pacquiao to pay less tax in Brisbane

MANILA, Philippines - Bob Arum’s lips are sealed as to how much Manny Pacquiao is getting for his WBO welterweight title defense against Australia’s Jeff Horn on July 2 in Brisbane.

But the Top Rank CEO said yesterday if there’s one thing Pacquiao will be glad to hear it’s that he’ll be paying far less in taxes in Australia compared to the United States.

“Well, we’re working on that but the taxes in Australia will be less than in the US,” Arum told The STAR over the phone.

Taxes in the United States, particularly when Pacquiao fights in the Las Vegas, are perhaps higher than anywhere else in the world.

“In the US it’s 39.6 percent withholding,” said Arum, meaning for every $10 million Pacquiao earns from his purse, $3.9 million goes to taxes.

“It’s because the tax rate in the highest bracket in the United States is where Pacquiao is at and that’s 39.6 percent,” said Arum.