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UFC The Ultimate Fighting Championship (UFC) is a U.S.-based mixed martial arts organization, recognized as the largest MMA promotion in the world. The UFC is headquartered in Las Vegas, Nevada and is owned and operated by Zuffa, LLC. This promotion is responsible for solidifying the sport's postion in the history-books. UFC is currently undergoing a remarkable surge in popularity, along with greater mainstream media coverage. UFC programming can now be seen on FOX, FX, and FUEL TV in the United States, as well as in 35 other countries worldwide.

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Old 05-01-2013, 11:19 AM   #31 (permalink)
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Originally Posted by Danm2501 View Post
He also won an early TUF, and the UFC seem to look after the early TUF guys that have stuck around, especially winners.
It's a good point.

Michael Bisping represents the importance TUF can have on a fighters career. He is one of the most recognisable names in MMA and makes a shit load of money.

Who wouldn't want some of that?
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Old 05-01-2013, 11:19 AM   #32 (permalink)
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There is no way the UFC is doing this, don't be ridiculous. They aren't going to screw with tax fraud to save a few bucks for their employees.
Being the large brand that they are, they just simply couldn't do that anymore. However they can pay a fighter a bonus at any time (like after PPV numbers come in) and not have to report it on these salary reports. It'll still be reported to the IRS and taxes paid by the fighter. Unless you're Diaz, then you'll just end up in jail sooner or later.
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Old 05-01-2013, 11:33 AM   #33 (permalink)
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Originally Posted by HexRei View Post
There is no way the UFC is doing this, don't be ridiculous. They aren't going to screw with tax fraud to save a few bucks for their employees.
The size of a company has nothing to do with how law abiding they are. If anything, the larger the corporation, the more liable it is to act immune to countries laws, bend or lobby them to suit themselves, and are generally sinkholes of corruption and collusion with individual officials via bribers er.. lobbyists.

http://thinkprogress.org/economy/201...012/?mobile=nc

You really think Vegas casinos are built by honest joes scrounging together clean money from their piggybanks while paying 50%-70% in cumulative taxes? I suppose the quadrillions of dollars stashed away in untraceable tax havens like Cayman Islands, Switzerland, Bahamas etc. must be grandma's $10 a months savings added up slowly over the years.

How would the IRS know if a company takes some payments in such tax havens and then uses them to pay cash for it's expenses? They have policies of not handing over account information unless a terrorism etc. related warrants are produced you know. The US has asked such swiss/tax haven banks for blanket info many times, but they've always been refused.

I know some extremely wealthy and well placed people that do this and are rich because of it. Heck, there are countries like Russia, ex-Soviet countries, India etc. where the parallel tax-avoiding cash "black" economy is estimated to be many times larger than the actual on paper GDP of these countries.

Not saying it's right, but the difference can be as much as 50%-70% of the total when you calculate corporate tax, sales tax, luxury tax, income tax etc... this is larger than most companies' operating profit margin, it's not "a few extra bucks" and it's not for the employee it's for themselves. It might very well be the sole reason the Fertittas were able to turn the UFC around and make it so profitable where so many other big players have failed.
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Old 05-01-2013, 11:38 AM   #34 (permalink)
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Originally Posted by Liddellianenko View Post
The size of a brand has nothing to do with how goody two-shoes they are. If anything, the larger the corporation, the more liable it is to act immune to countries laws and are generally sinkholes of corruption and collusion with individual officials and bribers er.. lobbyists.

http://thinkprogress.org/economy/201...012/?mobile=nc

You really think Vegas casinos are built by honest joes scrounging together clean money from their piggybanks while paying 50% in cumulative taxes?

I suppose the quadrillions of dollars stashed away in untraceable tax havens like Cayman Islands, Switzerland, Bahamas etc. must be grandma's $10 a months savings added up slowly over the years.

"...to save a few bucks for their employees". I don't doubt their accountants could be pulling tricks behind the scenes, but they aren't going to do anything that a jilted fighter could tattle on them for later.
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Old 05-01-2013, 12:00 PM   #35 (permalink)

 
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Sonnen knows he sells fights so his contract likely guarantees him less but offers him a bigger ppv cut prolly why he works so hard to sell the fight


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Old 05-01-2013, 12:00 PM   #36 (permalink)
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Originally Posted by HexRei View Post
"...to save a few bucks for their employees". I don't doubt their accountants could be pulling tricks behind the scenes, but they aren't going to do anything that a jilted fighter could tattle on them for later.
They'd be doing it for themselves not their employees. If and when a company pays anything cash out of it's stash from a tax haven, it is in effect paying out of a more plentiful source of money than their on paper taxed income.

For example, how would the IRS really know exactly how much business the Fertittas casinos do and if it is the same as how much is revealed to them? They have absolutely ZERO way of knowing. Individual pit bosses and cashiers have no idea of the total, and most of it is cash income not credit card / cheque transactions with a paper trail.

If some of this income was not declared but instead stashed or taken in a tax haven, that money is in effect 2-3 (!) times higher than what they would have had after paying taxes. They can take this double-triple income and funnel it into all their other businesses, their margins are instantly much, much higher without taxes.

The employees would not squeal later because at that point they would be complicit and liable themselves, not to mention the career bridge they'd be burning. Why would they even mind the extra income?

Besides, it is very unlikely that people as rich and powerful as the Fertittas wouldn't have a few friends in the IRS who could squish or close the file on a few minor complaints. The world isn't as simple as we imagine. Even IF there was a super innocent employee who tattled on his own tax free income after years of taking it, and the case was not scuttled or settled, it would be for a tiny amount for ONE individual fighter, and the UFC could usually just pay backtaxes and pretend it was a one-off case. There would be no absolutely evidence to the contrary.
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Old 05-01-2013, 12:07 PM   #37 (permalink)
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Originally Posted by Liddellianenko View Post
They'd be doing it for themselves not their employees. If and when a company pays anything cash out of it's stash from a tax haven, it is in effect paying out of a more plentiful source of money than their on paper taxed income.

For example, how would the IRS really know exactly how much business the Fertittas casinos do and if it is the same as how much is revealed to them? They have absolutely ZERO way of knowing. Individual pit bosses and cashiers have no idea of the total, and most of it is cash income not credit card / cheque transactions with a paper trail.

If some of this income was not declared but instead stashed or taken in a tax haven, that money is in effect 2-3 (!) times higher than what they would have had after paying taxes. They can take this double-triple income and funnel it into all their other businesses, their margins are instantly much, much higher without taxes.

The employees would not squeal later because at that point they would be complicit and liable themselves, not to mention the career bridge they'd be burning. Why would they even mind the extra income?

Besides, it is very unlikely that people as rich and powerful as the Fertittas wouldn't have a few friends in the IRS who could squish or close the file on a few minor complaints. The world isn't as simple as we imagine. Even IF there was a super innocent employee who tattled on his own tax free income after years of taking it, and the case was not scuttled or settled, it would be for a tiny amount for ONE individual fighter, and the UFC could usually just pay backtaxes and pretend it was a one-off case. There would be no absolutely evidence to the contrary.

You're getting into wild speculation territory here. I've seen relationships go sour with many UFC employees, I've seen some nasty feuds and accusations, and I've never heard anyone breathe a word about the UFC underreporting to the IRS. They're trying to establish themselves as a legit sport, this just isn't a risk I see the UFC (perhaps even Zuffa as a whole) taking. I'll stick with Occam's Razor on this one.
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Old 05-01-2013, 01:02 PM   #38 (permalink)
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I see that Jon Jones was paid at least $300000 too much. I mean shit at first he did not take fight claiming it was not a deserved fight. Then he takes an entire training camp plus TUF exposure (shitty coach) and then refuses to promote the fight. I feel that the fighting is a small part of what he should be expected to do. I am not a Sonnen fan so let's avoid that confusion but he was underpaid. He is supposedly the UFC Sponspored one after all. His pay should reflect the amount of time he does for the company. Hurry on nut huggers I am sure you can find fault in my words...
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Old 05-01-2013, 01:50 PM   #39 (permalink)
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You're getting into wild speculation territory here. I've seen relationships go sour with many UFC employees, I've seen some nasty feuds and accusations, and I've never heard anyone breathe a word about the UFC underreporting to the IRS. They're trying to establish themselves as a legit sport, this just isn't a risk I see the UFC (perhaps even Zuffa as a whole) taking. I'll stick with Occam's Razor on this one.
I wouldn't be favoring such ideas if I didn't know so many examples from personal experience.

As for Occam's razor, that has to be the biggest piece of pseudoscientific nonsense on the internet. There is no statistical proof to back it whatsoever. It is nothing more than opinion with a sexy sciency name. According to that stuff, the world is flat and the sun revolves around the earth because .. duh, the simplest explanation is most likely to be true. We're not falling off, it looks flat, therefore it is flat. All that complex stuff about round earth, gravitational pull, axis rotation and revolution ... too complex, that's just stupid!

The very premise of occam's razor is ridiculous. Just because it's simple it must be true. uh... how about no. Sometimes simple things are true. Sometimes complex things are true. It's common sense. Rate arguments on their own merit and logic, not simplicity, that is the lazy man's opinion.
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Old 05-01-2013, 01:55 PM   #40 (permalink)
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I still don't understand why there's such a difference between what's here and what actually happens. I know a chunk comes out of advertisements, pay-per-view revenue, etc. It's just crazy how the released salary of Sonnen is $50,000 when I"m sure it's similar to 2-3 million.
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