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The Brazil international's proposed transfer seemed to have hit the rocks due to "fiscal reasons", but the Serie A outfit have not given up yet believing the deal can be salvaged

EXCLUSIVE
By Elia Raimondo

AC Milan remain hopeful of luring Kaka away from Real Madrid in the January window as negotiations between both sides continue, Goal.com understands.

The Rossoneri opened talks with Madrid over a winter transfer earlier this month, but Milan CEO Adriano Galliani stated on Monday that the move had fallen through.

"The negotiations for Kaka have broken down. It's not possible to complete the deal for fiscal reasons. We had agreed on everything else but the deal broke down," Galliani said.

Nevertheless, despite Galliani's comments, talks between Madrid and Milan are ongoing as the Serie A giants remain keen to find a solution.

Both teams had reached an agreement over a 24-month free loan deal, after Milan initially intended to sign Kaka until June 2015, whereas Madrid aimed to ship the Brazilian out on loan for 18 months.

The deal was put on hold following Madrid's demand for a €7 million (£5.9m) fee to cover tax payments, though.
 
Milan are reluctant to accept Madrid's request, but they hope to reach a compromise before the transfer window slams shut as negotiations continue.

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