KRA Eyes Huduma Namba Data in War Against Tax Cheats

The Kenya Revenue Authority (KRA) is seeking to access Huduma Namba data in the war against tax cheats.

The tax authority wants Members of Parliament (MPs) to amend the Huduma Namba Bill to give it access to data that is beyond acquisition of legal information such as identity cards (IDs) or passports.

This access will allow the taxman to identify individuals who evade their tax obligations despite being above the age of 18.

If parliament adopts the proposal, Huduma Namba card ID holders will automatically be registered as taxpayers when they attain 18 years and be required to file tax returns. Huduma Namba will serve as KRA’s personal identification number (PIN).

Business Daily reports that while official data shows that there are 25.64 million Kenyans aged 18 and above, only 5.5 million people filed returns in the year to June.

"Huduma Namba assigned to an individual under the Huduma Act, 2021 shall serve as the PIN for the purpose of tax law," the Bill reads in part.

The proposed changes to the biometric identification scheme will allow the KRA to access the personal data of a resident individual, including biometric biographical data.

KRA specifically wants parliament to review section 5(1)(3)(c) to enable the National Integrated Identity Management System (NIIMS) database to support the issuance of a functional administrative information identifier.

“This will enable agencies to deal with specific administrative issues in their operations, for example, tax base expansion by KRA,” KRA told the National Assembly’s Committee on Administration and National Security.