Entertainment

Shakira Walks Free As Spanish Court Dismisses Tax Fraud Allegations

📷 Shakira

A Spanish court has cleared singer Shakira of tax fraud allegations, ruling that the government must return more than $87 million Cdn in fines and interest, according to court documents. The decision marks the latest development in the Colombian star’s long-running tax issues in Spain.

The case centred on the 2011 tax year, with Spanish authorities claiming Shakira should have been considered a tax resident of Spain. However, the Madrid-based court found there was not enough evidence to support that claim.

Under Spanish law, a person is considered a tax resident if they spend more than 183 days in the country during a year. The court said authorities were only able to prove that Shakira spent 163 days in Spain in 2011. As a result, the court ordered the Treasury to repay the taxes she had paid, along with interest.

Spain’s Tax Agency argued that Shakira had strong ties to the country at the time because of her relationship with former soccer player Gerard Piqué and because her main economic activities were allegedly based there.

The court rejected those arguments, stating that the relationship could not legally be treated as a marriage and that there was no proof that “the main centre or base” of Shakira’s business or financial interests in 2011 was located in Spain, either directly or indirectly.

“There was never any fraud and the Tax Agency itself was never able to prove otherwise, simply because it wasn’t true,” Shakira said in a statement released by her legal team.

Her lawyer said Spain’s Treasury must reimburse the singer about $95 million Cdn, including interest.

“This resolution comes after an eight-year ordeal that has taken an unacceptable toll, reflecting a lack of rigour in administrative practices,” lawyer José Luís Prada said in a statement.

The same statement also quoted Shakira as saying she hoped the ruling would create a precedent for “thousands of ordinary citizens who are abused and crushed every day by a system that presumes them guilty and forces them to prove their innocence while facing financial and emotional ruin.”

Despite the ruling, Spain’s Tax Agency said it plans to appeal to the Supreme Court, meaning no payment will be issued until a final decision is reached.

This is not the only tax-related case involving the singer. In November 2023, Shakira reached a separate agreement with prosecutors in Barcelona to avoid going to trial over accusations that she failed to pay roughly $23 million Cdn in Spanish income taxes between 2012 and 2014. As part of that deal, she admitted to the charges and agreed to pay a fine equal to half the amount owed.

Over the years, Spain’s tax authorities have also pursued several high-profile soccer players, including Lionel Messi and Cristiano Ronaldo, over unpaid taxes. Both players were convicted of tax evasion but avoided prison sentences under Spanish laws that allow judges to suspend sentences of less than two years for first-time offenders.

Harnaik Singh Rathor is the Founder, Publisher, and Editor-in-Chief of StudioX News Canada, Canada's multilingual digital news network serving diaspora communities across 44 languages. With a background in media production, public relations, and multicultural communications, he founded StudioX Film and TV Corporation to bridge the gap between mainstream Canadian media and the country's diverse immigrant communities. He is a member of the Canadian Association of Journalists (CAJ), RTDNA Canada, CPRS Vancouver, Unifor, NEPMCC, and the Canada Freelance Union. He holds CAVCO Personnel Number SINH0106. Based in Surrey, British Columbia. | LinkedIn: https://www.linkedin.com/in/harnaiksinghrathor/ | Muck Rack: https://muckrack.com/harnaiksinghrathor | Email: editor@studioxnews.ca

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