South African rapper AKA is in trouble with the taxman. According to reports, the rapper owes the SA Revenue Service (Sars) at least R2 million.
According to legal papers he submitted. His former manager, Raphael Benza, has dragged Forbes to court, claiming the rapper owed his record company, Vth Season, at least R650 000, which should have been settled by the end of November 2017.
AKA has failed to meet the agreement that he signed with Vth Season back in July and is now claiming that is because he owes SARS.
“He [Benza] created this. As his manager, it was his responsibility to advise him about all financial and tax issues as part of his management duties, in accordance with a management agreement,” said Forbes’ lawyer, Oupa Baloyi.
Baloyi said he had to come in late last year to amend a clause in Forbes’ contract to ensure that his money was deposited in his account.
At the time, Benza did not pay Forbes 80% of his earnings, as per their management agreement. Instead, he paid the rapper a specific amount each month, like an employee instead of an independent contractor.
Asked whether Forbes had made an arrangement to pay Sars, Baloyi said: “We are in advanced negotiations with them.”
Benza told City Press “I advised Kiernan regularly to pay Sars and he told me he was paying. I never asked for proof. I trusted him. He is a grown man.”
Benza further added that he had urged AKA to make responsible financial decisions for years, but the Forbes continued to spend on assets without thinking of the long-term repercussions.
Source: City Press