A Spanish court has ordered the tax authority to refund Colombian pop star Shakira more than €55 million ($64 million) improperly collected in a dispute over her 2011 taxes, according to a ruling seen Monday.
The National Audience said tax authorities had failed to prove that the "Hips Don't Lie" singer spent more than 183 days in Spain in 2011, the legal threshold requiring residents to pay personal income tax in the country.
"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 court ruled that Spain’s tax agency must return all amounts paid, plus legal interest, effectively cancelling multimillion-euro penalties and tax adjustments that had classified Shakira as a Spanish tax resident for that year.
The total repayment exceeds €55 million and includes about €24 million in income tax, nearly €25 million in fines for what authorities had described as a "very serious" infringement.
