As part of the settlement, the ex-Real Madrid footballer will pay a fine of 19 million euros and will be sentenced to two years in prison.
In Spanish law, first-time offenders committing non-violent crimes tend to avoid actually going to prison if their sentences are two years or less.
While the representatives of the five-time Ballon d'Or victor reiterated his innocence of the allegations, they have now accepted the hefty fine and the two-year prison sentence.
The deal with tax authorities and the Portuguese player's advisers also includes a two-year jail sentence that he won't serve.
Despite his sensational move to the Italian giants, Ronaldo still faced several counts of tax fraud after being accused of evading tax in his years in Spain.
The prosecutor accused the Portugal forward of having used shell companies outside Spain to hide income made from image rights.
In 2014, Spanish authorities say he was late in declaring that year just 11.5 million euros (RM54.3 million) of revenue earned in Spain for the period spanning 2011-2014, when his earnings in his country of residence totalled 43 million euros (RM203 million).
His legal team had blamed the affair on a simple different interpretation of which revenue he was obliged to declare in Spain.
The football star will be required to pay the fine plus €5.7 million in back taxes, €1 million in accrued interest and €250 per day for 48 months covering the prison sentence, according to Reuters.
Messi was consequently sentenced to 21 months in prison in another suspended jail sentence.