Shakira Wins £50 Million Tax Refund from Spanish Government

A Spanish court has ordered tax authorities to refund Colombian singer Shakira more than €55 million after ruling that she was wrongly classified as a tax resident in Spain in 2011.

According to the ruling, the National Audience Court found that the singer did not spend enough time in Spain that year to meet the legal threshold requiring residents to pay personal income tax.

“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 decision requires Spain’s tax agency to return taxes, fines and accrued interest previously collected from the singer, effectively overturning penalties imposed over the dispute.

In a statement, Shakira said the ruling had “finally set the record straight” after years of what she described as public attacks and reputational damage linked to the case.

She also accused authorities of leaking and distorting information during the investigation in an attempt to intimidate taxpayers through public scrutiny.

“Every step of the process was leaked, distorted, and amplified, using my name and public image to send a threatening message to other taxpayers. Today, that narrative falls apart,” she added in a statement sent to AFP. 

The repayment reportedly includes about €24 million in income tax, nearly €25 million in fines, and additional legal interest.

The case is one of several tax disputes involving the singer and Spanish authorities.

In a separate case tied to allegations of tax fraud between 2012 and 2014, Shakira reached a settlement with prosecutors in 2023, agreeing to pay a fine to avoid trial.

Spanish tax authorities had argued that the singer spent enough time in the country during those years to qualify as a tax resident, using social media activity and witness testimony as part of their evidence.

Spain has pursued several high-profile tax cases involving celebrities and football stars in recent years, including Lionel Messi and Cristiano Ronaldo.