Colombian singer and philanthropist, Shakira, has won a major legal victory after a court in Madrid ordered Spain’s tax authority to refund more than €55 million (£48 million) over penalties linked to her 2011 tax status.
In a statement issued on Monday, Spain’s Audiencia Nacional said it upheld an appeal filed by Shakira against the sanctions imposed five years ago by the Agencia Tributaria, which alleged that she failed to pay the required taxes in Spain in 2011 while she was in a relationship with former FC Barcelona defender Gerard Piqué.
According to the court, the tax authority failed to establish that the singer spent more than 183 days in Spain during the period in question, the minimum stay required for her to be considered a tax resident and liable to pay personal income tax in the country.
“On the contrary, the court understands that Shakira’s stay in our country was 163 days and that the tax agency has therefore not proved that the singer had core economic interests in Spain … as set out in the terms established [by law],” the statement said.
The ruling directed Spain’s tax agency to reimburse the fines paid by Shakira, alongside interest and legal costs.
However, the court clarified that the decision, which can still be challenged in the supreme court, applies only to the singer’s 2011 tax dispute.
In November 2023, Shakira reached an agreement with prosecutors to avoid trial in Barcelona over allegations that she failed to pay €14.5 million (£12.7 million) in income tax between 2012 and 2014.
Under the settlement, the award-winning singer accepted the charges and agreed to pay a fine amounting to more than €7.3 million, representing 50 percent of the amount owed.
She also agreed to an additional €438,000 fine in exchange for avoiding a three-year prison sentence.
Shakira had previously accused Spain’s tax agency of carrying out “a salacious press campaign” against her while maintaining that she owed no taxes.
Reacting to Monday’s ruling in a statement released through her lawyer, the singer said the court had confirmed that no fraud was committed in 2011.
“After more than eight years of enduring a brutal public shaming, orchestrated campaigns to destroy my reputation, and countless sleepless nights that ended up affecting my health and the wellbeing of my family, the Audiencia Nacional has finally set things right,” she added.
