Behind all the hoopla and fervor surrounding the World Cup, an inconvenient fact is forgotten: Brazil handed over a huge amount of money in tax breaks to the Fédération Internationale de Football Association (FIFA), much of it flowing into the pockets of huge multi-national corporations--money that roughly calculated would have lifted 37 million people out of poverty.
This is not to be forgotten, via Citizens For Tax Justice:
According to InspirAction, Christian Aid’s Spanish affiliate, Brazil will give up $530 million in tax revenue to benefit the World Cup’s corporate sponsors such as McDonalds, Budweiser and Johnson & Johnson. The country is allowing corporations to import an array of products from food, medical supplies and promotional materials tax-free, while also exempting seminars, workshops and other cultural activities from taxes.
InspirAction and other advocates have said the millions saved by FIFA and its sponsors through these breaks should be used to benefit the poor, not corporations and their shareholders. Foregone World Cup tax revenue could help lift 37 million people out of extreme poverty and help improve basic services. Instead, FIFA, a supposed non-profit organization, is reporting historic profits while leaving the host country to foot the bill.[emphasis added]
The economic loss isn't unusual in World Cup history:
In 2010, South Africa hosted the World Cup. FIFA reported that it received $3.8 billion tax-free in revenue and that year was “the most profitable in FIFA history”. However, South Africa had a $3.1 billion net loss from hosting the games. The same year, the number of tourists in South Africa dropped by half compared to previous years.
The issue of the peoples' money going to underwrite sporting events and the building of stadiums has been out there, most regularly questioned by the good people at the Institute for Local Self-Reliance (see
this, as an example)
I speak as a big sports fan BUT totally opposed to public money going to subsidize the profits and egos of billionaires and big corporations.