Radio In Crisis? Power FM Faces R3.5 Million SARS Debt After Alleged Tax Neglect

One of Gauteng’s most recognisable radio stations, Power FM, has reportedly landed in serious trouble with the South African Revenue Service (SARS), and the figures being thrown around are enough to make anyone’s chest tight.

According to reports, the taxman has come knocking with a multi-million-rand demand, placing the broadcaster in a high-stakes financial showdown that could threaten its stability if not resolved swiftly.

Power FM in Hot Water Over R3.5 Million SARS Debt

As reported by DailySUN, Power FM — home to former EFF spokesperson Mbuyiseni Ndlozi — is facing a SARS bill of more than R3.5 million, including penalties and interest. The publication claims SARS issued a formal letter of demand to the station on 18 July 2025, giving the broadcaster just 10 days to either settle the debt in full or enter into a payment arrangement.

The letter reportedly came with a stern warning. If Power FM failed to comply, SARS could take matters further — including appointing third parties to intercept money owed to the station, securing a civil judgment, or even moving to attach and sell assets through the sheriff of the court.

And things escalated quickly.

SARS is said to have secured a default judgment against the broadcaster after continued non-compliance, effectively blacklisting the entity and intensifying pressure to recover the outstanding amount.

Inside Power FM’s SARS Breakdown — Where the Millions Come From

Apparently, documents paint a picture of a debt that grew over time due to unpaid returns and mounting penalties. Initially, Power FM reportedly owed R2.7 million in unpaid Pay As You Earn (PAYE). That figure increased after penalties of over R254,000 and interest exceeding R54,000 were added.

The station allegedly also fell behind on Unemployment Insurance Fund (UIF) contributions, owing more than R132,000, which later climbed to nearly R150,000 once penalties and interest kicked in.

On top of that, SARS reportedly flagged unpaid Skills Development Levy contributions. The original amount of around R126,000 ballooned to over R140,000 after interest and penalties were applied.

YOU MAY ALSO LIKE: Gogo Maweni’s Name Dropped In Parliament — Cover-Up Claims, Murder Allegations

Value-Added Tax (VAT) added another layer to the problem, with Power FM allegedly owing more than R235,000, later increasing to just above R241,000.

Once everything was tallied — penalties, interest and outstanding payments — the total liability reportedly surged to R3.5 million.

It’s further reported that Power FM owner and former broadcaster Given Mkhari has acknowledged the debt and confirmed that discussions with SARS are underway to resolve the matter.

Mzansi, this raises the big question: how does a major media house let things get this far — and what happens next if the taxman doesn’t budge?

---

For More, Follow SurgeZirc SA On Facebook, X,  Instagram and Bluesky