SARS reveals Lucky Montana's R5. 4million settlement offer amid tax fraud allegations
The South African Revenue Service (SARS) has revealed that former Prasa CEO and Member of Parliament Lucky Montana offered R5.4 million as a settlement towards his outstanding tax debt of over R55 million.
IOL previously reported that Montana had opened a fraud case against SARS, accusing the tax authority of fabricating court documents to justify its hefty tax bill. However, SARS has rejected these claims as false and misleading.
In a press briefing on Saturday, SARS published details of Montana’s tax affairs and said it had warned the former Prasa boss to retract his claims within 24 hours or face public disclosure of his confidential tax information.
“Recently, on August 8, 2025, Mr Montana submitted a compromise offer to SARS, offering the sum of approximately R5.4 million to satisfy the total tax debt outstanding, which currently stands at R55,133,282.94”.
“A prerequisite in terms of the Tax Administration Act for SARS to consider a compromise offer is that the tax debt may not be disputed. In other words, the taxpayer must accept that the tax is due and payable.”
The revenue service also outlined the timeline of non-compliance, which included Montana’s alleged failure to submit tax returns for multiple years and to provide relevant material during the audit process.
Despite being afforded several extensions, SARS said Montana’s responses were “limited” and failed to address the audit findings.
“The additional assessments have therefore become final and are no longer open to dispute,” SARS said, adding that Montana had not filed a valid objection.
Due to continued non-payment, SARS launched a sequestration application against Montana in May 2023. He has yet to file an answering affidavit.
“Mr Montana’s allegation of SARS ‘fraudulently doctoring a fake court judgment’ is false,” the agency said, noting that certified statements were lawfully filed with the High Court, carrying the effect of a civil judgment.
IOL mthobisi.nozulela@iol.co.za