Shakira Spain Tax Evasion Case Explained: How Did She Try to Evade Paying Spanish Taxes While Living in Barcelona?

Shakira's second Spain tax evasion case is almost resolved already as Spanish prosecutors asked the judge to shelve the case, but how did we get to this point? How did the Colombian, one of the most beloved artists on Earth, get accused of not paying her taxes, and why was the Bahamas involved?

Shakira Isabel Mebarak Ripoll, the singer behind such hits like "Whenever, Wherever" and "Hips Don't Lie," was in trouble with Spanish tax authorities as she reportedly did not pay her taxes while living in Spain with her then-boyfriend Gerard Pique, the Spanish soccer star who played for FC Barcelona at that time.

The case gained global attention as Spanish prosecutors accused the Colombian music star of tax evasion in December 2018. They claimed she did not pay over 14.5 million euros in taxes from 2012 to 2014 when she was still living in Barcelona with Pique.

According to ABC News, the lawsuit alleged that she listed the Bahamas as her primary residence during that period, but in reality, she was living with Pique and spent most of her time in Spain rather than the Bahamas, which is a tax haven, and it is very easy to set up residency there.

However, Spanish investigators sent to the Bahamas noted that she did not really live in that mansion she built, which is worth millions. Instead, she always went back to Spain, where Pique is.

"The general rule in Spain is, for each year, if you reside, if you're domiciled in Spain, you owe taxes," explained trial lawyer Jesse Bolling in 2022, when the case started getting global attention. "Domiciled is defined, for the most part, as being there for more than half the year. You're supposed to keep a diary or a calendar of where you are on every day."

Shakira Settles Spain Tax Fraud Case But Was Still in Trouble

Last year, as she was going through her breakup with Pique, she agreed to a last-minute deal with the public prosecutor's office and settled the case. However, her tax saga is not over yet.

She agreed to pay 14.5 million euros in unpaid taxes plus interest plus a fine worth 7.3 million euros and a €432,000 payment to waive a suspended three-year prison sentence. She had previously paid over €20 million in 2018 to settle a dispute regarding her 2011 tax liability case as well.

Despite this. Shakira still had to contend with a second tax fraud case where a judge expanded an investigation into Shakira's tax affairs beyond the three years that she was investigated, with prosecutors claiming she underpaid almost 6.1 million euros in 2018.

Shakira's Second Spain Tax Evasion Case Thrown Out

Shakira already paid millions of euros to the Spanish government in 2023, but with the second case, which focused on her unpaid 2018 taxes looming, she paid an additional 6.6 million euros.

As THR pointed out, this was more than enough for Spanish prosecutors to ask the judge to scrap the second case, with prosecutors arguing that there was a lack of evidence for the case to move forward so they told the judge to just drop it.

This article is owned by Latin Post.

Written by: Rick Martin

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