Anthony Joshua’s knockout victory over Jake Paul was meant to be a night of triumph. However, despite stopping Paul in Miami, Joshua may lose a massive part of his historic purse to taxes. Reports suggest the British heavyweight could forfeit about $66 million to tax authorities.
Therefore, his final take-home pay may be lower than that of the defeated Jake Paul. The bout took place on Friday night at the Kaseya Center in Miami, Florida.
Joshua stopped Paul in the sixth round of their heavyweight clash.
The contest was widely described as one of boxing’s most profitable crossover events. According to reports, the total prize pot was valued at around £137 million.
Both fighters were believed to earn roughly £68.5 million each from the fight. The bout ended at 1:31 of the sixth round after 989 seconds of action.
Based on those numbers, Joshua earned about £69,000 per second in the ring. Moreover, that equals nearly £4.1 million per minute during the fight. However, those headline figures do not reflect what Joshua will actually receive.
As a UK resident fighting in the United States, Joshua faces dual tax obligations. AceOdds estimates that about 37 percent of his purse goes to the US Internal Revenue Service. Although Florida has no state income tax, federal tax still applies.
In addition, Joshua must settle his remaining tax liability in the United Kingdom. This includes an estimated £5.5 million to HM Revenue and Customs. He is also expected to pay around £1.4 million in National Insurance contributions.
Altogether, Joshua’s total tax bill is projected at roughly £32 million. This means the Anthony Joshua fight purse tax impact is one of the biggest in boxing history. Meanwhile, Jake Paul’s tax exposure is believed to be significantly lower.
Speaking after the fight, Joshua reflected honestly on his performance.
When asked about criticism, he told talkSPORT, “I deserve it.” He added, “How are you letting this kid take you six rounds? Are you crazy?”
Joshua continued, “But I can’t go back in time, but credit to him, he done well.” Furthermore, he insisted that money was not the main motivation. “It’s not even my biggest payday; it’s not about money,” Joshua said.
“For me, it was more about the opportunity,” he explained. “I had to showcase my skills to the world.”
Despite the deductions, the fight remains hugely profitable for the former champion.
