Manny Pacquiao’s bank account frozen due to tax problem

MANPAC

Manny Pacquiao, his bank account has been frozen by the Bureau of Internal Revenue (BIR) which is basically the Philippines version of Internal Revenue Service (IRS).

They have frozen not only his bank account but also his wife Jinkee Pacquiao’s bank account. They have frozen the account because they claim that Pacquiao hasn’t really paid his taxes from 2008-09 for his fights.

Pacquiao, 34, claims that he did pay his taxes in the US Internal Revenue Service, which has a treaty with the Philippines that allows citizens of both countries avoid double taxation.

Philippines authorities demanded that boxing hero Manny Pacquiao has to pay a $50 million tax or else his assets would be seized. However Pacquiao decided to take the fight to court.

The Bureau of Internal Revenue wanted 2.2 billion pesos ($50.2 million) for suspected unpaid taxes from lucrative fights in the United States in 2008 and 2009. He said he had broken no laws because he had already paid taxes on those earnings in the United States.

Pacquiao cash was kept in the Philippine bank accounts and by having those accounts seized had left him without money to pay his staff, and forced him to borrow “not less than one million pesos.”

“I am not a criminal or a thief. I am not hiding anything. I will face my problems as they come, the tax case is now with the court of tax appeals. We do not have to submit anything to the BIR,” Pacquiao said. A court hearing has been set for December 5.