More than half of World Cup countries face extra costs as Fifa fails to agree US tax deal

• Fifa has not agreed tax exemption with US government

• Burden will fall disproportionately on smaller nations

More than half the countries that have qualified for the World Cup are facing additional costs and potential losses due to Fifa’s failure to agree a blanket tax exemption with the United States government and significant variance in the host country’s international tax treaties.

As a not-for-profit organisation Fifa has had tax-free status in the US since the 1994 World Cup, but that exemption does not apply to all of the 48 qualifiers, whose national associations must pay a range of federal, state and city taxes on their earnings from the tournament this summer.