SARS Issues R14.2 Million Final Tax Demand To Cat Matlala’s Medicare24
The South African Revenue Service (SARS) has issued a final demand to Medicare24 Tshwane District, a company owned by businessman Vusimuzi “Cat Matlala, for approximately R14.2 million in outstanding taxes, according to the Sunday Times.
The demand, dated in May, reportedly gave the company 10 business days to settle the amount.
According to the publication, Medicare24 Tshwane District had neither paid the debt nor entered into a payment arrangement with SARS at the time of the report.
The notice does not specify how the R14.2 million debt was incurred. Instead, it refers to the overdue balance reflected on the company’s latest SARS statement.
SARS has not alleged that the outstanding amount is the result of tax fraud. The revenue service has also said it cannot comment on the tax affairs of individual taxpayers.
If a tax debt remains unpaid, SARS can take steps to recover it, including issuing a third-party appointment against money owed to the taxpayer, obtaining a civil judgment and instructing a sheriff to attach assets. Interest may also continue to accrue on the outstanding amount.
Medicare24 Tshwane District was awarded a South African Police Service (SAPS) health-risk management contract in June 2024. The tender was initially advertised at about R360 million, while the successful bid was valued at approximately R228 million. SAPS reportedly paid the company more than R50 million before the contract was cancelled in May 2025.
The contract has since become the subject of a criminal investigation into alleged procurement irregularities. Matlala and other accused face charges including fraud, corruption and money laundering in connection with the tender. Suspended National Police Commissioner Fannie Masemola is among the officials facing charges in the broader case.
Matlala previously entered into a plea-and-sentence agreement with the State and pleaded guilty to charges linked to the Medicare24 tender. However, the court rejected the proposed sentence as too lenient. Matlala subsequently declined to accept a heavier sentence, resulting in the agreement being declared null and void and his guilty plea falling away.
His Medicare24 matter was postponed on 11 September and is now expected to return to the Pretoria Specialised Commercial Crimes Court on 25 September 2026, when Matlala and his two companies are expected to be rejoined with the other accused in the broader case.
Matlala is also facing a separate criminal trial in the Johannesburg High Court involving allegations including conspiracy to commit murder and attempted murder.
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