Tuesday, September 27

Julio Iglesias has about twenty offshore companies in the Virgin Islands to manage his fortune

Julio Iglesias (Madrid, 1943) has broken all records. Several Grammys, including the honorary one for his entire career, and his presence in the Guinness Book have made him the most universal Spanish singer. His more than 300 million records sold -23 of them in Spain- and the diversification of his investments have led him to appear for years on the Forbes list of the richest in the world. With a fortune that exceeded 800 million euros in 2020, despite the downturn due to the pandemic, Julio Iglesias climbed positions in that last edition and went on to occupy the 29th position of the Spanish. But it is the singer himself who has recognized that amassing that millionaire has been easier for him thanks to moving away from his native country. In addition, Julio Iglesias runs a corporate network based in the British Virgin Islands to manage his assets.

This is clear from the Pandora Papers, a journalistic investigation by the International Consortium of Investigative Journalists (ICIJ) and published by La Sexta y The country and in which it participates elDiarioAR, the sister newspaper of elDiario.es in Argentina. Iglesias is one of the personalities that appears in the more than twelve million documents that have been leaked to carry out this international investigation into the secrets and fortunes of world leaders and tycoons in tax havens and the United States through complex corporate networks.

According to information published by El PaísIglesias used five of those companies to acquire $ 112 million worth of properties in Indian Creek, a ‘bunker’ for millionaire neighbors that has even become a tourist attraction in Miami. The singer is linked to fifteen other companies – out of twenty in 16 he is listed with his wife, Miranda Rijnsburger, who, unlike her husband, is also listed as the owner of two companies in Spain. In the case of the Virgin Islands corporate network, all companies were managed by Trident Trust, one of the main firms in the Pandora Papers investigation. In addition to the five homes on the exclusive Indian Creek Island, other companies have helped him buy other properties in another Miami neighborhood for an amount of four million dollars, according to the Prisa newspaper. With another, G-450 Holding Limited, Iglesias owns his private plane.

Although its presence is more common on paper coated, Iglesias gave an interview to Jordi Évole in Salvados (La Sexta) in 2015 in which he spoke, among other things, of his tax preferences. “I’m going to tell you my taxes, which is very interesting. I’ve never stopped paying a bloody tax anywhere in the world. Where I sing, I pay my taxes ”, the singer began in that interview in which he acknowledged that he had his residence in the Dominican Republic, where he paid 31% of taxes on the income of the Punta Cana Group company -with hotel businesses, real estate and even the local airport, among others. The Dominican Republic has a beneficial tax regime for foreigners who become residents. According to the newspaper ABC, the singer separated from the company three years later due to the tightening of tax regulations in the Caribbean country and acquired a new property in Panama, a country with which he had already been linked in the past.

“If I lived in Spain, I would earn much less money”

But in that interview Iglesias made important revelations. “You tell me if I believe in the redistribution of wealth. I believe in the justice of wealth. They will pay you the money you are worth, they will pay me the money you are worth (sic) ”, he told the journalist. “If I did not pay taxes in Spain it would be unfair, everything I earn in Spain I pay tribute, it is very clear. I don’t pay tribute to everything I earn in the whole world in Spain because I don’t live in Spain. If I lived in Spain, I would pay taxes; If I lived in Spain I would earn much less money, it is also true ”, he confessed.

At that time, the then Minister of Finance, Cristóbal Montoro, had launched an offensive against artists who did not pay taxes in Spain. Évole asked him if he felt challenged. “I care three balls,” was the response of Iglesias, who did ask, instead, the Government to lower the cultural VAT of 21%.

But the singer has not only lived in the Dominican Republic to benefit from a better tax regime. At the beginning of his career – driven since his victory at the Benidorm International Festival with ‘Life continues the same’ and later as a Spanish representative in Eurovision – Iglesias moved to Panama to take advantage of its tax incentives, as recognized by El Confidencial Alfredo Fraile, who was his manager, after appearing in the Panama Papers as the owner of a company offshore created on the Island of Aruba in 1979.

“I set up Julio Iglesias’ offshore network,” he told that newspaper. “We made money in Mexico, for example, and paid taxes in Mexico. We arrived in Spain and had to pay taxes again. times less than 40% of what we had earned, “he explained about his business with the singer of” I’m a scoundrel, I’m a gentleman. “” We discovered that being residents in Panama and having our companies in Panama we had certain tax advantages. We took advantage of those circumstances. for our benefit, the truth is that ”, recognized Fraile.

Iglesias’ lawyers also admitted that his address was in the Latin American country, which is one of the usual “black lists” of tax havens. It was in 1988 when the Spanish Treasury claimed ten million of the old pesetas (about 60,000 euros) for the income it had obtained in 1974, 1975 and 1976, as published by El País. After living in Panama, Iglesias moved to the Bahamas and later to the Dominican Republic.

What Iglesias does not clarify now is whether he still resides on the Caribbean island or in Indian Creek. In one of his last media appearances -in November 2020 in an interview in Cope on the occasion of the death of his friend Diego Armando Maradona-, Carlos Herrera, who assumed that the singer was being held in Florida due to the coronavirus, asked him why his desire to return to Spain and, as on other occasions, Iglesias said he was very close to his country, despite the distance for economic reasons: “I am always in Spain. Everything I eat is Spanish, everything they bring me is from Spain. All my memories are born and die in Spain. I am in a place that I chose because it seemed to me that it was very opportune for my career and I was not wrong ”.