Former Generations actress and entrepreneur Sophie Ndaba is reportedly facing intense scrutiny from the South African Revenue Service (Sars) in relation to a case involving alleged tax evasion.
Sophie Ndaba faces prosecution for company tax evasion
Should the outstanding tax debt of over R23 million remain unpaid, Sars may pursue a writ of execution, potentially resulting in the sale of assets belonging to Ndaba’s company, Sophla Trading, per City Press.
According to sources, on 26 June 2023, Sars issued a final letter of demand to Sophla Trading, requesting payment of the substantial sum of R23 617 304.64.
The letter outlined the company’s failure to settle its tax debt for one or more tax years and periods. It further provided options for repayment within a ten-day period, including payment instalments, debt suspension in cases of formal dispute, compromise of a portion of the tax debt, or other collection measures.
Ndaba, the 50-year-old actress renowned for her role as Queen Moroka on the popular soapie Generations, is reportedly the sole director of Sophla Trading.
Sars has implied potential legal action, which may be initiated through the high court if the company fails to adhere to the payment methods specified by the revenue collector.
SARS’ options if Ndaba fails to settle R23 million debt
Failure to comply with payment or utilise the aforementioned remedies may result in severe consequences. Sars reserves the right to appoint a third party owing money to or holding funds for Ndaba in order to settle the tax debt.
Additionally, Sars may obtain a civil judgment against Ndaba, leading to the issuance of a warrant of execution to attach and sell her assets. Ndaba is given the option to apply for a reduction in the amount owed based on her basic living expenses or serious financial hardship, depending on her status as an individual or a non-natural person.
Sars spokesperson Anton Fisher has emphasised that the organisation is bound by the Tax Administration Act, prohibiting the disclosure of confidential taxpayer information to third parties. Fisher clarified that Sars does not engage in discussions regarding private taxpayer matters.