Shakira tax case: Spain court orders $70 million returned

A Spanish court has ordered the return of $70 million to Shakira in a tax case. This is a significant amount of money being returned to the singer.

A Spanish court has acquitted the pop star Shakira of tax fraud allegations stemming from the 2011 tax year. The ruling, which emerged recently, directs the Spanish treasury to reimburse the singer approximately $70 million, including interest. This decision follows a protracted legal battle that has spanned years, with authorities failing to definitively prove that Shakira resided in Spain for the required 183 days to be considered a tax resident for that period. The court found that officials could only demonstrate 163 days of residency, thereby invalidating the initial tax claims.

Pop star Shakira is acquitted in a Spanish tax fraud case - 1

The core of the dispute hinged on establishing Shakira's tax residency in Spain for the 2011 fiscal year. Prosecutors contended that her relationship with former soccer player Gerard Piqué and her primary economic activities in the country signified her residency. However, the High Court found this proof insufficient, deeming the fines based on this assumption unlawful.

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Pop star Shakira is acquitted in a Spanish tax fraud case - 2

Despite the acquittal, Spain's tax agency has signaled its intention to appeal the ruling to the Supreme Court. Consequently, no reimbursement will be processed until a final verdict is reached. Shakira's legal team, represented by Jose Luis Prada, welcomed the decision, describing the eight-year ordeal as an "unacceptable toll" and highlighting a perceived lack of rigor in administrative procedures.

This acquittal is the latest development in a series of tax-related issues Shakira has faced in Spain. In a separate case in November 2023, she reached an agreement with prosecutors to avoid a trial concerning charges of failing to pay approximately €14.5 million (nearly $17 million) in income tax between 2012 and 2014. As part of that settlement, she acknowledged the charges and paid a fine equivalent to half the amount owed. The tax authority has a history of scrutinizing high-profile figures, including athletes like Lionel Messi and Cristiano Ronaldo, for tax compliance. Shakira, whose full name is Shakira Isabel Mebarak Ripoll, reportedly commented that Spanish tax collectors "started to salivate" over her finances when her relationship with Piqué began.

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Frequently Asked Questions

Q: Why was Shakira cleared in her Spanish tax case for 2011?
A Spanish court found that tax officials could only prove Shakira lived in Spain for 163 days in 2011, not the 183 days needed to be a tax resident. This meant the tax claims against her were not lawful.
Q: How much money will Spain have to return to Shakira?
The court ordered the Spanish treasury to give back about $70 million to Shakira, including interest. This is due to the ruling that she was not a tax resident for the 2011 tax year.
Q: Will Shakira get the $70 million back right away?
No, Shakira will not get the money back yet. Spain's tax agency plans to appeal the court's decision to the Supreme Court. The money will only be returned after a final decision is made.
Q: What does Shakira's team say about the court's decision?
Shakira's lawyer said the eight-year legal fight was too much and that the tax office did not follow proper steps. They are happy with the court's decision to clear her of the charges.