A Spanish court has acquitted pop star Shakira of tax fraud, ordering the government to return over $64 million in wrongly imposed fines. The decision comes after years of tax troubles in Spain for the Colombian superstar. Shakira was accused of failing to pay taxes on her 2011 income, but the court ruled that Spanish authorities failed to prove she was a resident of the country that year.
The case centered on whether Shakira spent more than 183 days in Spain in 2011, the threshold for being considered a tax resident. However, Spanish authorities were only able to prove she lived in the country for 163 days, falling short of the requirement. The court ordered the Treasury to reimburse Shakira the tax paid plus interest, totaling over $70 million.
Shakira Tax Case
Shakira’s lawyers argued that the singer was not a resident of Spain in 2011, despite her relationship with Spanish soccer player Gerard Piqué. The court agreed, ruling that the relationship could not be legally equated to a marital one, and that Shakira’s main economic activities were not based in Spain. Shakira’s lawyer, José Luís Prada, said the resolution comes after an eight-year ordeal that has taken an unacceptable toll on the singer.
This is not Shakira’s first tax issue in Spain. In 2023, she reached a deal with Spanish prosecutors to avoid a trial over charges that she did not pay Spanish income tax worth $15.8 million between 2012 and 2014. Shakira accepted the charges and paid $8 million in addition to the previously unpaid taxes and interest.
Implications and Reactions
The acquittal is a significant victory for Shakira, who has maintained her innocence throughout the ordeal. The case highlights the complexities of international tax law and the challenges faced by high-profile individuals with global income. Shakira’s lawyer said the resolution reflects a lack of rigor in administrative practices, and the singer is expected to be reimbursed over $70 million.
The case also raises questions about the fairness of Spain’s tax system, particularly for high-profile individuals. Spain’s tax authorities have cracked down on soccer stars like Lionel Messi and Cristiano Ronaldo for tax evasion, but Shakira’s acquittal suggests that the system is not always fair or effective.
