Floyd Mayweather’s willingness to fight Conor McGregor just started to make more sense – at least from Floyd’s side of the table. He needs money and he needs it as soon as possible.
According to a report done by ESPN.com, Mayweather still owes a large sum of taxes to the IRS and he has asked for a reprieve on his 2015 taxes until after his fight against McGregor. One would think that someone like Mayweather wouldn’t struggle with cash but apparently a lot his fortune is illiquid.
It’s not known how much Mayweather actually owns but we’re are not talking about just a few million.
“The failure-to-pay penalty is typically 0.5 percent of the owed taxes for each month, according to the IRS website. Mayweather’s 2015 taxes are currently 15 months past due, which would equal a 7.5 percent charge on top of what is owed,” said the report.
One would think that someone like Mayweather wouldn’t struggle with cash but apparently a lot his fortune is illiquid.
“Although the taxpayer has substantial assets, those assets are restricted and primarily illiquid.”
This means that Floyd can’t pay his taxes with his cars, houses or jewelry etc. He needs cash.
The McGregor bout will most likely get him out of trouble since it’s expected that it might break all kinds of pay-per-view records.
According to Forbes magazine, Mayweather has earned approximately 700 million dollars during his career.