Jorge Lorenzo wins against the taxman to escape €11m fine
The tax authorities wanted €7.8m (£6.9m / $8.3m) for his personal income in 2016, plus an extra penalty of €3.6m (£3.2m / $3.8m).
But the Regional Administrative Economic Court of Catalonia ruled that the tax authorities were unable to prove that Lorenzo’s residence was in Spain during 2016.
Lorenzo argued successfully that he resided in Switzerland at the time.
The authorities had argued: “Of the 18 races that make up the championship, four are located in Spain and none in Switzerland.”
Lorenzo argued that he could not choose the locations of MotoGP races.
The authorities were then only able to prove that Lorenzo was in Spain for 168 days in 2016, below the 183-day threshold to be responsible for paying tax.
This is the second time that the three-time premier class champion has won in court against the taxman.
In 2021 he was chased for a total of over €35m for the period between 2013 and 2015.
Similarly it was ruled that Lorenzo lived in Switzerland during that time so did not need to pay the Spanish authorities.
In 2019 as Lorenzo was in his final MotoGP season, the tax authorities knocked on his motorhome door inside the paddock to discuss his affairs.