MANILA, Philippines - The Bureau of Internal Revenue reminded boxing champ and congressman Manny Pacquiao to keep an eye on his tax duties this time, as he gears up for another multi-million dollar fight.
BIR Commissioner Kim Henares said she hopes Pacquiao has learned his lesson after being hit by a P2.1 billion tax deficiency for 2008 and 2009. Pacquiao is appealing the case at the Court of Tax Appeals.
"Whatever he earns from that fight, he has to declare it in his ITR in 2014...Siguro naman by this time, natuto na siya na kung ano yun dapat niyang gawin. At dapat mayroon na siyang abogado, dapat may accountant na sya," she said.
Whether Pacquiao wins or loses in the fight Timothy Bradley on April 12, Henares said he has to pay the proper taxes.
The boxer has to pay 32% of his earnings from the fight to the BIR. However, Henares said this may be reduced if Pacquiao has paid taxes on his earnings in the US.
"Kung may binayad kang buwis sa ibang bansa, puede mong iawas yun sa 32%. Pero kailangan documented," Henares said.
It will be recalled that the BIR had frozen Pacquiao's bank accounts last year after he was found to have failed to pay P2.1 billion in income taxes in 2008 and 2009. - With report from Ron Gagalac, ABS-CBN News