It’s the fight of the century! The Internal Revenue Service is taking on undefeated fighting champion Floyd Mayweather. The arena: tax court. The odds: heavily in favor of the IRS.
Unfortunately, this fight is looking like one that the IRS may win without even having to throw a figurative punch. The federal agency has accused boxing legend Floyd Mayweather of failing to pay taxes for several years. Even more surprising? The multi-million dollar champion is having problems making his payments.
Although the story is not a pleasant one for Mayweather, it provides some hope for others that are fighting with the IRS.
What can the average taxpayer learn from Mayweather’s predicament?
As noted in a recent piece by CBS News, dealing with the IRS is a headache even for the extremely rich and famous. In order to deal with his tax obligations, it appears Mayweather is attempting to negotiation an installment plan. Unfortunately for Mayweather, the agency does not appear keen on negotiations. Instead, the agency reportedly has stated that the fighter has plenty of assets to cover his tax obligations. As such, they want payment and they want it now.
Taxpayers without millions in accumulated wealth are more likely to have success in negotiations with the IRS. In addition to an installment plan, an offer in compromise may provide some relief from the burden of large tax obligations.
Ultimately, the lesson from Mayweather’s fight with the IRS is to stay in the ring. Do not lose hope. Options are available that can help you deal with your tax obligations and get on with your life. Contact an experienced tax lawyer to discuss these options and determine the best course of action for your situation.