Royce Gracie could have more problems than originally reported with newly-discovered IRS tax fraud claims against his company, Khonkhor Enterprises, including a disallowed $338,871 expense deduction for The MMA Lab.
In January, Bloody Elbow broke the news of Royce Gracie's tax battle with the IRS over the agency's determination that he and his wife fraudulently evaded paying over $1.1 million in personal income taxes from 2007-2012 through the use of foreign bank accounts, wire transfers "used to pay for, among other things, renovations to their vacation property in Mammoth lakes, California, and personal credit card debts," hiding corporate income as "personal loans," and other means.