Power FM in trouble with the taxman? Radio station says ‘assets are not at risk at all’

The long arm of the law has reached out to Power FM in the form of the South African Revenue Service (Sars). The commercial talk radio station based in Gauteng has found itself in hot water with the taxman for unpaid taxes amounting to millions. Media reports have suggested that the tax agency is threatening to attach the radio station’s assets and sell them should it fail to settle the tax bill within the stipulated time.

However, Power FM’s representative says the company’s assets are not at risk at all. Tshifhiwa Mulaudzi, managing director of MSG Afrika confirmed toThe Citizenthe radio station owes money to Sars. “We confirm that there are outstanding amounts due to Sars and a letter of demand was issued by the revenue service,” he said.

“We further confirm a payment arrangement with Sars is in place. The company’s assets are not at risk at all.” MSG Afrika Investment Holdings is the parent company of Power FM, owned by businessman Given Mkhari. Mulaudzi did not confirm how much the radio station owes and for which taxes.

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Same with the tax agency. While both Mulaudzi and Sibeko were reluctant to confirm or deny the amount owed, an article inDaily Sunclaimed that the radio station’s tax bill amounts to R3.5 million.

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