Anthony Joshua scored a stunning sixth-round knockout against YouTuber-turned-boxer Jake Paul on Friday night in Miami, Florida. The victory, however, comes with a major financial downside for the former two-time heavyweight champion. US and UK tax authorities are expected to claim roughly $66 million of his massive fight purse, significantly reducing the amount Joshua actually keeps.
Medical fallout for Jake Paul
Paul was rushed to the hospital after the fight with a broken jaw in two places. Following surgery to insert titanium plates and remove some teeth, he posted on social media, “Just got out of surgery. Everything went smooth. Thanks for all the love. Lots of pain and stiffness. Got to eat liquids for seven days.”
The Florida State Athletic Commission mandates a minimum 45-day medical suspension for any boxer knocked out in the ring, meaning Paul will be out of action while he recovers. Given the severity of his injuries, his layoff could extend to six weeks or more.
Joshua’s tax obligations
Joshua reportedly earned approximately $140 million (US$93 million) from the bout. Because he fought in the United States, the IRS will claim around 37 percent of his earnings, totaling about $52 million. On top of that, as a UK tax resident, HM Revenue & Customs will take roughly $11.3 million, with another $2.8 million required for National Insurance contributions.
After these deductions, Joshua is expected to walk away with around $74 million, leaving him with just over half of the total prize money. Paul, by contrast, will only face the US tax on his earnings, meaning he could end up keeping more of his fight purse than Joshua despite losing.
“Paul will be out for at least 45 days, and his jaw will need 4-6 weeks to heal fully,” a close friend told reporters after the bout.
Financial irony in boxing
It is a remarkable twist… Joshua dominated inside the ring and scored the knockout, but tax obligations mean Paul may retain a larger portion of his money. The situation underscores how international taxation can dramatically affect earnings in global sports.
Both fighters will undergo post-fight medical assessments before returning to training or competition. While Joshua can celebrate the victory, the substantial tax deductions serve as a reminder that in professional sports, financial hurdles often rival the challenges inside the ring.
1 thought on “Anthony Joshua Faces $66 Million Hit from US and UK Taxes After Jake Paul Knockout Victory”
Go ahead and break my jaw for $74 million!!! Heck, break it twice for that much!