Colombian pop star Shakira has reached a settlement with Spanish prosecutors in a tax fraud case just as her trial was set to commence. The international singer has agreed to pay a €7.5 million (£6.5 million) fine, instead of a potential eight-year jail term and a €23.8 million (£20.8 million) penalty.
The case revolved around tax fraud allegations amounting to €14.5 million (£12.7 million), with the Barcelona court preparing to examine Shakira’s residency status between 2012 and 2014. Prosecutors asserted that during this period, the singer was living in Spain but officially listed her residence elsewhere.
Shakira vehemently denied any wrongdoing, and had rejected a previous settlement offer, choosing to proceed to trial.
In a recent statement, she stated that she had settled “with the best interest of my kids at heart.” Shakira emphasized that her children did not want to witness their mother sacrificing her well-being in an extended legal battle.
While maintaining her innocence, Shakira highlighted the toll the case had taken on her and others, stating,
Unfortunately, and despite these efforts, tax authorities in Spain pursued a case against me as they have against many professional athletes and other high-profile individuals, draining those people’s energy, time, and tranquility for years at a time.
The crux of the matter lay in Shakira’s residency status, with Spanish law deeming individuals who spend more than six months in the country as residents for tax purposes. Shakira contested this, asserting that Spain was not her primary residence during the period in question.
Shakira declared Spain as her tax residence in 2015, stating she has paid €17.2 million (£15 million) in taxes with no outstanding debts.
