Rory McIlroy will be hit with a seven-figure tax bill if he wins the Masters this weekend to complete a career Grand Slam. The Northern Irishman, who has already won the US Open, the PGA Championship and The Open, has never triumphed at Augusta National. The winner of this year’s tournament will receive a prize of £3.2 million, slightly more than Scottie Scheffler’s £2.8 million payout in 2024.
However, that sum will be slashed by nearly half after tax. Paul Barham, head of international private client tax at Forvis Mazars, explained: 'Any prize money earned will be subject to US federal tax, the top rate of which is still 37 per cent. Golfers will also have to pay state tax in Georgia at 5.39 per cent.' This means McIlroy would owe about £1.36 million in federal and state taxes, leaving him with £1.84 million – a reduction of 42.39 per cent.
George Cannon, private client tax manager at Kreston Reeves, noted that McIlroy’s US residency in Florida protects him from additional UK taxes. 'As a non-UK resident for tax purposes, any winnings Rory receives in relation to overseas performances will not be taxable in the UK,' Cannon said. Only earnings from UK events like The Open would be taxable there.
McIlroy, who has not won a major in 11 years, said he is determined to block out the surrounding narrative. 'It's just narratives, it's noise,' he told a press conference on Tuesday. 'I need to treat this tournament like all the other tournaments that I play throughout the year.'
