HABARI DAILY I Kampala, Uganda I The replacement of individual Tax Identification Numbers (TINs) with National Identification Numbers (NINs) is set to change how Ugandans interact with the tax system, while giving the Uganda Revenue Authority (URA) a more integrated way of identifying taxpayers, tracking economic activity and closing revenue leakages.
The reform, approved by Cabinet, brings tax identification closer to Uganda’s national identification system by making the NIN the primary identifier for individual taxpayers. For non-individual taxpayers, the Business Registration Number (BRN) will serve as the primary identifier.
The move is being implemented by URA in collaboration with the National Identification and Registration Authority (NIRA) and the Uganda Registration Services Bureau (URSB). URA says the integration is intended to create a more accurate and interconnected taxpayer register.
For taxpayers, one of the biggest changes is that individuals will no longer need to maintain a separate identity number specifically for tax purposes. The NIN on a national identity card will increasingly serve as the identifier used in dealings with the tax authority.
The Government says the old TIN system, although useful, depended on separate registration processes that contributed to fragmented and outdated records.
“That creates real weaknesses in data accuracy, compliance, and service delivery,” Minister of ICT and National Guidance Justine Kasule Lumumba said while announcing the Cabinet decision.
By linking tax records to the national identity system, Government expects to establish one consistent identity for each individual taxpayer.
“This will improve the accuracy of our taxpayer register, strengthen our ability to identify and trace taxpayers, and make our data systems work better together,” Lumumba said.
For URA, the significance goes beyond simply replacing one number with another. The authority says integration of NINs, TINs and BRNs is intended to improve taxpayer identification and make government databases more interoperable. This means information held by tax authorities can potentially be matched more effectively with records held by other government institutions.
URA says the integration will help taxpayers update their NIN, telephone numbers, physical addresses and economic activities through their existing tax profiles.
The change is therefore expected to make it more difficult for people to maintain multiple or inconsistent identities when conducting economic activities. A taxpayer’s national identity can be connected more reliably to activities such as business ownership, property transactions and other formal economic dealings.
For Government, this has a direct revenue implication. A more accurate taxpayer register gives URA a stronger basis for identifying people who earn taxable income but remain outside the formal tax system.
The reform is consequently part of the wider push to increase domestic revenue mobilisation by expanding the tax base rather than relying only on increasing taxes on taxpayers who are already registered.
It could also strengthen the authority’s ability to detect undeclared income and transactions. The more government systems are able to communicate with one another, the easier it becomes to compare taxpayer declarations with information generated elsewhere.
For ordinary taxpayers, however, the reform does not create a new tax. It changes the identification mechanism used to administer existing tax obligations.
URA has already instructed registered taxpayers to update their registration information. According to the authority, individuals should provide their NIN, while non-individuals should provide their BRN, alongside current telephone numbers, physical addresses and the nature of their business or economic activity.
Taxpayers whose information is incomplete or outdated will be prompted to update their profiles when they log into their URA accounts before proceeding with transactions.
URA has also been using NINs to simplify registration for individuals. Its instant TIN service requires an individual to provide a NIN and a working mobile phone number, after which the taxpayer can receive the TIN electronically.
The transition also means businesses need to understand the distinction between individual and non-individual taxpayers. Companies and other entities will increasingly be identified through BRNs, while individuals will use NINs as their primary tax identifiers.
URA says the broader objective is to make tax compliance simpler while strengthening enforcement.
“The biggest benefit is the integration of systems, where NINs for individuals and BRNs for non-individuals become the primary taxpayer identifiers,” the authority explains in its taxpayer guidance.
The system is also expected to support digital tax administration. URA already requires NIN, BRN or TIN information for certain electronic fiscal receipts and invoices, demonstrating the growing role of integrated taxpayer identification in everyday commercial transactions.
Ultimately, the reform presents two sides of the same equation for Ugandan taxpayers. On one hand, it promises fewer registration hurdles, more consistent government records and easier interaction with public institutions. On the other, it gives URA greater visibility of economic activity and makes it harder for taxable income to remain hidden.
For compliant taxpayers, the transition should largely mean using an identity they already possess rather than obtaining and managing an additional number. For those operating outside the tax net, however, the NIN-based system could significantly narrow the space for avoiding registration and taxation.
The Government’s expectation is that a single, integrated digital identity will make Uganda’s tax system both easier to administer and harder to evade. The success of the reform will ultimately depend on how effectively URA, NIRA and URSB integrate their databases while protecting taxpayer information and ensuring that the new system remains accessible to citizens.
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