Berliner Boersenzeitung - Spanish court orders 55 mn euro tax refund to Shakira 

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Spanish court orders 55 mn euro tax refund to Shakira 
Spanish court orders 55 mn euro tax refund to Shakira  / Photo: Pablo PORCIUNCULA - AFP/File

Spanish court orders 55 mn euro tax refund to Shakira 

A Spanish court has ordered the tax authority to refund Colombian pop star Shakira more than 55 million euros ($64 million) improperly collected in a dispute over her 2011 taxes, according to a ruling seen Monday.

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The National Audience said tax authorities had failed to prove that the "Hips Don't Lie" singer spent more than 183 days in Spain in 2011, the legal threshold requiring residents to pay personal income tax in the country.

"On the contrary, the court found that Shakira spent 163 days in Spain and that the tax authorities had therefore failed to prove that the singer had the centre of her economic interests in Spain," according to the ruling issued last month which was seen by AFP on Monday.

The court ruled that Spain’s tax agency must return all amounts paid, plus legal interest, effectively cancelling multimillion-euro penalties and tax adjustments that had classified Shakira as a Spanish tax resident for that year.

The total repayment exceeds 55 million euros and includes about 24 million euros in income tax, nearly 25 million euros in fines for what authorities had described as a "very serious" infringement.

The ruling comes as Shakira is set to wrap up her record-breaking "Women Don't Cry Anymore" world tour with a concert residency in Madrid starting in September.

Shakira, 49, lived with former FC Barcelona and Spain footballer Gerard Pique for more than a decade before the couple separated in 2022.

The singer, whose full name is Shakira Isabel Mebarak Ripoll, moved to Miami with their two sons after the split.

Shakira reportedly met Pique while filming the music video for "Waka Waka", the official song of the 2010 World Cup, which featured several footballers.

The singer has maintained that she established her permanent residence in Barcelona at the end of 2014 and later transferred her tax residency from the Bahamas to Spain in 2015.

The dispute is one of several involving the artist and Spain's tax agency, including a separate settlement in 2018 related to alleged irregularities in her filings.

Spanish tax authorities also argued she lived in Spain more than 183 days per year between 2012 and 2014, making her liable for taxes during that period.

In 2023, Shakira reached a separate settlement with prosecutors to avoid trial in a broader fraud case.

Spain's tax office went through her social media posts to gather evidence that she had been in Spain for over 183 days per year.

Its lawyers summoned dozens of witnesses, including her hairdresser and neighbours to back their case.

Shakira compared the tax office investigation into her affairs to an "Inquisition trial," saying in a 2024 letter published in Spanish daily El Mundo that authorities were more focused on "burning her in public" than listening to her arguments.

(K.Lüdke--BBZ)