Spanish authorities ordered to refund fines after Shakira is acquitted in landmark ruling.
Dubai: After nearly a decade of legal proceedings in Spain, Colombian pop star Shakira has been formally acquitted of tax fraud charges, marking a major legal victory and requiring Spanish authorities to reimburse her millions in fines and penalties.
The ruling, issued by Spain’s High Court, found that prosecutors failed to prove Shakira met the threshold for Spanish tax residency in 2012 — a key factor in determining whether she was legally required to pay income tax in the country.
Residency dispute at the centre of the case
The central issue in the case was whether Shakira spent more than 183 days in Spain in 2011, which would determine her status as a tax resident under Spanish law.
The court found that she had spent approximately 163 days in Spain that year, which is below the legal threshold required to establish tax residency. As a result, she could not be classified as a tax resident for that period.
Authorities also failed to prove that her main financial or professional base was located in Spain during that time. Consequently, the court ruled that the tax assessments and penalties imposed on her were not legally justified.
Millions in fines to be returned
The ruling overturns fines and penalties amounting to approximately €55 million (around $64–70 million), including interest, which Spanish tax authorities are now required to repay to the singer.
The court decision effectively clears Shakira of wrongdoing in the 2011 case and orders a full reimbursement of the sums previously collected.
In a statement to AFP, Shakira said: “Every step of the process was leaked, distorted, and amplified, using my name and public image to send a threatening message to other taxpayers.”
However, Spanish tax authorities have indicated they may appeal the ruling to the Supreme Court, meaning the final payout could still be delayed.
Separate legal case remains unchanged
The acquittal applies only to the 2011 tax year and does not affect a separate case covering income from 2012 to 2014.
In that earlier case, Shakira reached a settlement in 2023 with Spanish prosecutors, agreeing to pay millions in fines and accepting a suspended sentence to avoid trial. That agreement remains legally separate and is unaffected by the latest ruling.
