Anthony Joshua faces a tax bill of about $66 million on his blockbuster bout with Jake Paul in the United States, despite reportedly earning $92 million for the contest.
Joshua and Paul shared a $184 million prize pool following their heavyweight exhibition fight on Friday night in Miami, with 92 million dollars each representing the biggest payday of Joshua’s career.
The YouTuber-turned-professional boxer absorbed heavy punishment in Miami before Joshua delivered a clean right hand that ended the one-sided bout in the sixth round.
However, because the bout took place in the United States, Joshua is expected to pay multiple layers of tax that will significantly reduce his take-home pay, Yahoo News reported on Sunday.
Joshua is set to be taxed by the US government at an income tax rate of 37 per cent, amounting to about $52 million.
In addition, he will pay an estimated $11.3 million to His Majesty’s Revenue and Customs in the United Kingdom, alongside $2.8 million in National Insurance contributions.
“All up, Joshua will part ways with about $66m, leaving him with $74m in his pocket out of the total purse of $140m,” according to a breakdown of the reported earnings. It noted that Florida does not impose a state income tax, but federal tax obligations still apply.
By comparison, Paul will reportedly only be taxed by the US government, meaning he is expected to retain more of his earnings than Joshua, despite both fighters receiving the same purse.
“British star Joshua is set to be taxed by the US government for the earnings, as well as when he gets home to the UK. He will also have to give up some of the money in National Insurance contributions back home.
“There’s no state tax in Florida, but the US government is likely to charge an income tax of 37 per cent (about AU$52 million of the purse). Another $11.3 million will have to be paid to His Majesty’s Revenue and Customs (British tax), and $2.8m in National Insurance contributions.
“All up, Joshua will part ways with about $66m, leaving him with $74m in his pocket out of the total purse of $140m. Paul will only be taxed on the $52 million by the US government, meaning he’ll actually get to keep more than Joshua,” Yahoo News wrote.
The fight ended in the sixth round when Joshua landed a right hand that broke Paul’s jaw in two places, sending him to the canvas at the Kaseya Center. Joshua dropped Paul in the fourth, fifth, and sixth rounds before sealing the knockout at 1:31 of round six, ending Paul’s unbeaten run.
The Paul–Joshua showdown headlined Friday night’s card in Miami, Florida, with Netflix livestreaming the event.
Joshua’s record now stands at 29 wins from 33 fights, as he marked a successful return to the ring following his defeat to Daniel Dubois at Wembley Stadium last September.
While Paul boasted that he should be given Canelo Álvarez in 10 days, Joshua laid down the gauntlet to fellow British heavyweight Tyson Fury and vowed to fight the ‘Gypsy King’ in 2026.
Jake Paul has been handed a medical suspension of at least 45 days following his sixth-round knockout loss to Anthony Joshua on Friday night.
According to Yahoo News Australia on Saturday, Joshua will also be subject to a mandatory seven-day suspension.
Under regulations set by the Florida State Athletic Commission, fighters who are knocked out are required to observe a minimum 45-day period before they can return to the ring.
Paul is therefore facing a mandatory break from boxing of at least this duration, with the possibility of an extended suspension depending on medical advice.
“Considering his injuries, the suspension can be extended to 60 or 90 days as well. Paul was given a 60-day suspension last year after beating Mike Perry, which came after being assessed by a physician. Considering he was not knocked out on that occasion, he is likely facing a longer lay-off this time around.
“Paul and Joshua will both be assessed by medical professionals after their bout, and even Joshua is required to stand down for seven days under boxing’s rules.
“A close friend of Paul’s revealed after the bout that initial assessments are that his jaw will need four to six weeks to fully heal,” it wrote.
The British star is set to lose about half of his $140 million prize purse as well, it is also reported.
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