By Afnan Khalifah
Spain’s victory at the 2026 FIFA World Cup has brought celebration and a huge financial reward of over $50 million to the team but it’s also raised questions about how much of the money connected to the victory could be subject to taxation in the United States, one of the tournament’s three host countries.
The debate centers on U.S. tax rules for foreign athletes, coaches and referees who earn income while working in the country. Because most matches at the 2026 FIFA World Cup were played in the United States, foreign participants may be subject to federal and state taxes on income derived from their tournament activities. That has fueled speculation that some members of Spain’s World Cup-winning squad could see a portion of their bonuses reduced through U.S. taxation or withholding.
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The tax implications may not end in the United States. According to RCM Legal, 17 of Spain’s 26 national team players would also be obligated to pay taxes in Spain. “Those who are tax residents in Spain are taxed on their worldwide income,” RCM Legal told Fortune. “This is the situation for international players who play for Spanish clubs, such as Lamine Yamal, a footballer for FC Barcelona.”
Often referred to colloquially as the “jock tax,” U.S. tax law generally subjects nonresident athletes performing services in the country to taxation on income earned from those services. Similar tax implications can also apply to foreign artists and actors who work in the United States.
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FIFA has historically secured tax exemptions from host nations for its tournaments. Since Spain last won the World Cup in 2010, host countries including South Africa, Brazil, Russia and Qatar have granted tax relief covering FIFA and participating teams. The United States, however, does not appear to be following the same approach. The IRS guidance for the 2026 FIFA World Cup states that international athletes are subject to federal income tax on income “connected to services performed in the United States.”
Spain’s victory therefore highlights a broader problem created by global sporting events: a championship might belong to one country, the prize may come from an international governing body, and the athletes may live elsewhere, but the location where they competed can still lead to tax obligations. International tournaments have become ever more lucrative and disputes over who has the right to tax athletes’ earnings are likely to persist long after the final whistle.