Chelsea’s Club World Cup winners’ prize? A £10m US tax bill
Chelsea will be hit with a US tax bill of around £10m as a result of winning the Club World Cup on Sunday.
The stunning 3-0 win over Paris Saint-Germain in New York last weekend ensured Chelsea will receive £85m in prize money from competition organiser Fifa.
Some £39.7m is to be paid immediately and £45.3m at the end of next season, but the US authorities will treat it as taxable income.
Although Fifa has obtained exemptions from US taxes for the 2026 World Cup, it was unable to do so for the Club World Cup a year earlier.
As a result, all clubs who took part are liable to pay a range of city, state and ticket-sales taxes, with Chelsea facing the biggest bill.
The level of state tax varies significantly across the country, but in New Jersey, where Chelsea earned £55m as a result of winning the semi-finals and final at the MetLife Stadium, is among the highest rates.
Tax on ticket sales also varies from between four and seven per cent across the United States.
Infantino no-show riles Fifpro
Fifa president Gianni Infantino failed to turn up to a meeting with global players’ union Fifpro in New York on Saturday, which has exacerbated tensions between the two feuding parties.
Fifpro was left nonplussed by a statement issued by Fifa shortly after the scheduled meeting, in which the world governing body announced support for a mandatory 72-hour rest period between matches, which has been the governing body’s position for decades.
A meeting did take place without Infantino’s involvement. Fifa was represented by general secretary Mattias Grafstrom, chief operating officer Kevin Lamour and Victor Montagliani, the president of Concacaf, with Fifpro’s delegation led by president Sergio Marchi, general secretary Alex Phillips and former Chelsea midfielder Geremi Njitap, who is also president of Fifpro Africa.
Infantino had instead chosen to meet representatives of player unions who have been expelled from Fifpro due to poor governance, including those from Brazil and Ivory Coast, and even posed with them for a photograph that was published along with Fifa’s press release that announced the supposedly new agreement.
Fifpro does not regard Fifa’s support for a 72-hour break as a significant development and is continuing with its legal claim against Fifa for failing to consult over the schedule of the international match calendar, including the Club World Cup.
Dazn eyes future Club World Cup rights
Dazn is planning to hold talks with Fifa about broadcasting the next Club World Cup after the format and qualification process has been confirmed, which should take place later this year.
The sports streaming company has developed a close relationship with Fifa since buying the tournament’s global rights for $1bn in December, with Infantino describing the deal as “revolutionary” earlier this week.
Fifa is happy with the reach provided by Dazn’s global audience and high-tech streaming technology, which has accrued between 2bn and 3bn views over the last month.
Having provided almost half of the Club World Cup’s revenue, Dazn is in a good position to push for a renewal.
BBC swoops for Open highlights package
The BBC has secured a last-minute deal to show evening highlights of the Open Championship at Royal Portrush this week.
The R&A has agreed a new three-year deal with the BBC for highlights in a contract that also covers the Women’s Open, starting with the 2025 edition at Royal Porthcawl at the end of the month.
The BBC’s late move comes as a surprise and is a boost for both organisers The R&A and golf fans, as the corporation has shown little interest in the sport in recent years.
A long-term contract for live rights to the Open was terminated a year early by the BBC in 2016, with Sky Sports taking over live coverage, and while the Beeb has shown highlights since then it had opted not to renew a contract that expired last year.
The Rory McIlroy factor may have influenced the BBC’s decision to make a late bid, with the reigning Masters champion playing on his home course in Northern Ireland likely to boost interest among casual fans.
The BBC did not broadcast any highlights of McIlroy’s triumph in Augusta this year, which some at the corporation have privately admitted was an error.
The Open is a more attractive property for the BBC, however, due to earlier finishing times in this country, which should deliver a bigger audience.
This week’s highlights programmes are due to be shown at 9pm on Thursday and Friday before starting at 10pm on Saturday and Sunday.
The R&A and BBC did not comment, but an announcement is expected in the next few days.
Sky’s no limit for Portrush coverage
Sky Sports will be able to call upon footage provided by both a drone and a camera plane for the first time at an Open Championship this week.
Regulations surrounding the use of drones are far stricter in the UK than in the US, where their use by broadcasters is commonplace at Majors and on the PGA Tour, but the R&A has been able to secure permission to use one at Portrush.
Both technological innovations have subtly different uses. The drone will follow the marquee groups and provide panoramic footage of the perimeter of the course, while there will also be a telescopic lens on a plane primarily used to track the ball and capture finer details of the play.
Production of the Open is a joint venture between European Tour Productions and IMG, with Sky Sports having exclusive live rights in the UK.