Lucky Montana, former head of Prasa and now a member of parliament, has fired back at Sars, saying he does not owe the taxman a cent.
Sars took the unprecedented step on Saturday to hold a press conference to discuss his tax debt after Montana threatened to lay criminal charges against Sars officials, including commissioner Edward Kieswetter.
Sars warned Montana last week that unless he retracted the “false claims” he made against it, the tax authority would disclose his confidential tax affairs. Montana did not retract his claims and the Sars press conference went ahead on Saturday.
The public tax fight started when Montana told IOL that Sars “fraudulently doctored a fake court judgment to justify a hefty tax bill” and accused Sars of “maladministration, abuse of power and a politically motivated witch hunt”.
Sars responded in a general press statement rejecting the claims as false and issued a formal notice to Montana in terms of section 67(5) of the Tax Administration Act that empowers Sars to publicly disclose taxpayer information where it is necessary to counteract false statements that may undermine the integrity and public confidence in the tax system.
ALSO READ: Sars reveals that Lucky Montana offered R5.4m to settle his R55m debt
Sars held press conference when Montana did not retract his statements
Sars spokesperson Siphithi Sibeko, said on Saturday that the notice afforded Montana the opportunity to retract his statements and false allegations within 24 hours, but failed to do so.
Sibeko said Montana made these same false claims of “abuse of power”, “maladministration” and “a politically motivated witch hunt” inthe Gauteng High Court in Pretoria in the matter where he had all the opportunity to provide substance to his claims but did not.
The court ruled that all these allegations were scandalous and vexatious, emotive and intemperate, unsupported by facts and constitute gratuitous abuse.
“While the court is mindful not to stifle robust debate, such allegations fall to be deprecated as irrelevant, unhelpful and calculated to harm. Such conduct warrants a punitive cost order,” it ruled.
Sibeko said Montana failed to submit his income tax returns for 2017, 2018 and 2019. He was audited for the years 2009 to 2019 before Sars asked for additional information.
When he requested an extension to submit, Sars gave him more time, but he never submitted the documents, which is a contravention of the law.
Even after Sars sent him a final demand, Montana did not produce the documents. The audit was then completed without the documents.
Sars then sent a letter to Montana informing him that Sars intended to raise additional income tax assessments to the value of approximately R15.5 million for the 10-year assessment.
ALSO READ: Lucky Montana slams ‘highly compromised’ Zondo commission
Sars says Montana underdeclared his taxable income
Sibeko said Sars found Montana unlawfully evaded his tax liability by under-declaring taxable income he received from various sources, which is a contravention in law. He had 21 business days to respond to the audit findings.
After another extension, he responded “to a limited extent only, failing to deal with the bulk and essence of the audit findings”.
Instead of using the opportunity, Sibeko says Montana elected to attack Sars.
Before the audit Montana already had an outstanding assessed tax liability for the 2015 year of assessment. Sibeko pointed out that by October 2019, the outstanding tax amounted to R1 800 762.38.
When Montana failed to submit a proper objection or pay the tax, his overdue old and the new tax debts amounted to R44 927 320. Sibeko warned that interest continues to accrue on this amount.
Due to Montana’s non-payment of his tax debts, Sars launched an application for the sequestration of his estate in May 2023. Sibeko says Montana’s allegation of Sars “fraudulently doctoring a fake court judgment to justify a hefty tax bill” (sic) is false.
“Copies of the certified statements have been provided to Montana on various occasions. Recently, on 8 August 2025, he 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.”
ALSO READ: Lucky Montana accuses Zondo of allowing commission to be used for witch hunts
Montana ready to take on Sars and its many lawyers
At this press conference , Montana said Sars took R7 million or R8 million, went 10 years back and added interest and said it was R44 million. Today it is R55 million.
“I have seen through this thing. Is Lucky stupid? Or did Sars fall into his trap? I won’t answer that question. We will find that out at a later stage.”
Montana said Sars did not give him 10 (sic) business days’ notice. “I am at peace with myself. I do not owe Sars a cent.”
He said Sars has many lawyers and taking Sars on will be like taking on a whale in the ocean.
“But I am not afraid to. It is not about me. It is about all South Africans who lost their houses and cars they worked hard for over the years and Sars takes this away from them.”
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