Photo: Gtres / Splashnews

Shakira has resolved her high-profile tax fraud case with Spanish authorities, prioritizing her family’s welfare.

On Monday, at the onset of her tax fraud trial in Barcelona, Shakira, globally renowned for her hit “Hips Don’t Lie,” agreed to a settlement, as reported by various sources including BBC, The New York Times, and Associated Press. The agreement includes a suspended three-year sentence and a $7.5 million fine. Shakira faced allegations of evading 14.5 million euro ($15.8 million) in income taxes from 2012 to 2014. Despite her consistent denial of these charges, she risked an eight-year jail term and a fine up to $26 million if convicted.

Shakira, 46, expressed in a statement to us her decision to settle, motivated by concern for her children. “Determined to uphold my innocence, I was ready to fight in court, confident of a favorable outcome. Yet, I chose to settle for my children’s well-being, unwilling to have them witness their mother battle in such an emotionally draining fight,” she shared.

Shakira Reaches Settlement in Spanish Tax Fraud Case
Photo: Superior Court Of Justice Of Catalonia/handout/epa-efe/Shutterstock 

She emphasized her eagerness to move beyond this stressful period, focusing on her family, upcoming world tour, and new album. “Winning for me now means reclaiming my time for my kids and my career,” she said, still maintaining her innocence and commitment to doing right.

Shakira’s statement also included a critique of the Spanish tax authorities, whom she accused of targeting high-profile figures, causing undue stress and distraction over extended periods.

Shakira Reaches
Photo: Christopher Polk/Variety Via Getty

Central to the trial was the debate over Shakira’s residency during 2012-2014. Spanish law considers individuals spending over six months in Spain as tax residents. Prosecutors argued that Spain was her primary residence, while Shakira listed it differently to avoid taxes.

In 2012, Shakira purchased a residence in Barcelona, which she shared with her then-partner, footballer Gerard Piqué, as per the AP. The couple, who separated in June 2022, have two sons, Milan, 9, and Sasha, 7.

Shakira Reaches Settlement in Spanish Tax
Photo: Pau Barrena/AFP Via Getty Images

Shakira’s case follows a similar 2019 incident where Piqué faced a €2.1m fine for tax evasion between 2008 and 2010.

In a candid September 2022 interview with Elle magazine, Shakira voiced her frustration with the tax authorities, suspecting their motivation stemmed from her relationship with a Spanish citizen. Despite the settlement, she reiterated her innocence, “I must fight for what I believe in; these are unfounded accusations.”