This archive report was first published on 21 December 2021.
On December 21, 2021, the government announced plans to replace the KRA PIN number with Huduma Namba, a move aimed at increasing tax compliance in the country.
The Huduma Namba Bill, 2021, seeks to amend the Tax Procedure Act to make biometric ID the key number for identifying taxpayers.
Under the new system, children who hold the Huduma Namba will be automatically listed as taxpayers when they attain the age of 18 years.
Additionally, all adults with the Huduma Namba will be converted into taxpayers, expanding the taxman's revenue base from the current 5.5 million.
According to the Bill, 'Huduma Namba assigned to an individual under the Huduma Act, 2021 shall serve as PIN for the purpose of tax law.'
The new system will require all Kenyan adults to have the Huduma Namba to access government services, such as getting treatment at all government hospitals, marrying, or filing tax returns.
Kenyan adults who declare any false information will risk fines of up to Sh. 3 million or three years imprisonment.
