Why Spain could forfeit $15 million from World Cup prize money winnings

Why Spain could forfeit $15 million from World Cup prize money winnings originally appeared on The Sporting News. Add The Sporting News as a Preferred Source by clicking here.

By defeating Argentina in extra time, Spain earned something that can never be taken away, becoming world champions for the second time.

Spain also earned something that can be taken away: a significant amount of money.

While the Spanish squad received a hefty payout as World Cup winners, a chunk of that money could be lost to taxes under American law.

Here's a look at why Spain could have to surrender a large portion of its World Cup prize money.

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Why Spain could forfeit $15 million in World Cup winnings

While the precise bill isn't clear, Spain is set to see a chunk of its prize money go to the Internal Revenue Service (IRS) as a tax, MarketWatch reports.

Spain won $50 million in prize money, easily the most in a prize pool totaling $655 million. Spain's tax bill would be the highest of any team, naturally, but all teams would be affected.

According to Fox News, U.S. tax law states that "certain payments to nonresident foreign athletes are generally subject to a 30% federal withholding unless reduced by a tax treaty or a different exception."

It isn't clear whether World Cup winnings have a chance to receive an exception to be taxed at less than that rate, but a 30 percent tax on $50 million comes out to $15 million, leaving $35 million left over.

FIFA isn't based in the United States, but with the final being played in the U.S., Spain appears to be subject to U.S. tax law.

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Spain won $50 million for its World Cup victory, easily more than any other team in the tournament. Argentina won $33 million as the runner-up as part of a record $655 million prize pool.

Spain's $50 million prize is $8 million more than Argentina won at the 2022 World Cup, and the prize money for the winning team has more than doubled compared to 20 years ago.

Here's the full prize money breakdown for each team at the 2026 World Cup:

Prize Money at World Cup 2026 (USD)