Shakira wins tax dispute in Spain for over 55 million euros

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A Spanish court has ordered the refund of funds to the singer, as she spent fewer than 183 days in the country in 2011. The amount includes taxes, fines, and interest.

A Spanish court has ordered the tax service to return more than 55 million euros ($64 million) to Colombian singer Shakira, which were wrongfully collected as part of a tax dispute regarding her 2011 income, according to a ruling seen by AFP on Monday, UNN reports.

Details

The National Court (Audiencia Nacional) found that tax authorities failed to prove that the "Hips Don’t Lie" singer was in Spain for more than 183 days in 2011—the threshold that determines tax residency and the obligation to pay personal income tax in the country.

On the contrary, the court concluded that Shakira spent 163 days in Spain, and therefore, the tax office failed to prove that her center of economic interests was located in Spain.

The court ruled that the Spanish tax service must return all amounts paid along with interest, effectively overturning the multi-million euro fines and assessments that had identified the singer as a Spanish tax resident for that year.

Shakira welcomed the decision, stating that the court "finally restored justice" after years of "harsh public pressure, reputation-smearing campaigns, and sleepless nights that affected her health and her family's well-being."

She also stated that every stage of the process was "merged, twisted, and used as a tool of pressure against other taxpayers."

The total refund amount exceeds 55 million euros and includes approximately 24 million euros in income tax, nearly 25 million euros in fines, and interest.

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The decision comes amid the conclusion of the singer's "Women Don’t Cry Anymore" world tour, which is set to end with a concert in Madrid in September.

Shakira lived for a long time with former Barcelona footballer Gerard Piqué, from whom she separated in 2022, after which she moved to Miami with her two sons.

She maintains that she became a tax resident of Barcelona at the end of 2014 and officially moved her tax residency from the Bahamas to Spain in 2015.

The dispute with the Spanish tax authorities is one of several cases against the singer; notably, a separate settlement in 2018 concerned other potential violations in tax returns.

Spanish authorities also accused her of failing to pay 14.5 million euros in taxes for the 2012–2014 period; however, in 2023, Shakira agreed to a settlement and paid a fine of approximately 7.8 million euros to avoid trial.

According to case files, the tax service used social media posts, witness testimony, and even statements from a hairdresser and neighbors to prove her presence in Spain.

The singer herself compared the investigation to an "inquisition process," claiming that there were attempts to publicly discredit her.

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