Shakira agrees to pay €7.3 million to resolve fraud allegations in Spain- Court

A Barcelona court revealed on Monday that well-known Colombian singer Shakira has reached a settlement with Spanish prosecutors to avoid facing tax fraud charges in exchange for a fine exceeding 7.3 million euros ($7.98 million).

Shakira agreed to a three-year suspended sentence as part of the arrangement, which was made public at the start of her 46-year trial.

Makes a deal

As per the agreement, which was revealed at the onset of the singer’s 46-year-old trial, Shakira consented to a suspended sentence of three years and to pay a fine of 7.3 million euros ($7.98 million).

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Shakira refuted the accusations made by the prosecution, stating she only relocated to Spain permanently in 2015. The celebrity was accused of cheating the Spanish state of 14.5 million euros ($15.7 million) on revenue obtained between 2012 and 2014.

In a statement, the singer explained that she had decided to settle for the sake of her two sons, Milan and Sasha, but she did not address the horde of reporters as he entered and exited the Barcelona tribunal while sporting a pink suit and sunglasses.

In a statement sent by her attorneys, she stated, “I need to move past the stress and emotional toll of the last several years and focus on the things I love – my kids and all the opportunities to come in my career, including my upcoming world tour and my new album.”

“I have the utmost respect for those who have persevered against these injustices, but for me, victory right now means having more time for my family and career.”

The main focus of the dispute was how much time the singer—whose hits include “Whenever, Wherever” and “Waka Waka,” which was the 2010 World Cup song—spent in Spain from 2012 to 2014.

Authorities in Spain said that Shakira Isabel Mebarak Ripoll, also known as the Queen of Latin Pop, should have paid taxes in Spain as she lived there for more than half of that time.

They claim that although she kept her formal tax residency in the Bahamas until 2015, she relocated to Spain after her relationship with former FC Barcelona star defender Gerard Pique became public in 2011.

“Life of nomadism”

Shakira’s attorneys contended that, up until 2014, she was living a “nomadic life” and making the majority of her income from foreign tours; shortly before her second son was born in January 2015, she made a permanent transfer to Barcelona.

After a decade-long relationship, the diva announced her breakup with Pique in June 2022, bringing an end to one of the most well-known celebrity couples in the world. In April, she and their two sons, Milan and Sasha, relocated to Miami.

It was anticipated that her trial would last until December 14 and that the court would hear testimony from about 120 witnesses.

To support their allegations, Spanish prosecutors spoke with her neighbours, looked up her pictures on social media, verified payments at hair salons, and even examined the health facility she visited while pregnant.

It has previously been questioned what Shakira’s financial situation is.

In October 2021, the Latina diva was mentioned in one of the biggest-ever financial document dumps, dubbed the “Pandora Papers,” which exposed the riches and tax evasion tactics of the world’s wealthiest people. In her instance, the leak concerned her residency in the Bahamas.

Winner of a Latin Grammy

Football players Lionel Messi and Cristiano Ronaldo are among the celebrities whom Spain has taken tough measures against in recent years for underpaying their taxes.

After being found guilty of evasion, both players were given prison terms that were reduced for first-time offenders.

In 2016, Pique, Shakira’s ex-partner, was found guilty of tax fraud and subsequently mandated to pay 2.1 million euros to the tax agency.

At the Latin Grammy trophies on Thursday in Seville, southern Spain, the singer took home three trophies, including best pop song and song of the year for her work on “Bzrp Music Sessions, Vol. 53” with Argentine DJ Bizarrap.

The song makes fun of her ex-partner Pique and mentions having a “debt to the tax office” afterward. Nearly 1.5 billion listens have been made to it on YouTube and Spotify.