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Sharing your TIN is a risk you can’t afford
A Uganda Revenue Authority official reviews documents for a Tax Identification Number. PHOTO/FILE
What you need to know:
- Issued by URA, your TIN is much more than just a number — it’s a gateway to your financial identity. Failing to safeguard it can lead to unauthorised transactions, financial losses, and legal troubles.
Moses was going about his day when an unexpected email from the Uganda Revenue Authority (URA) landed in his inbox. The email confirmed receipt of his payment for transferring ownership of his motor vehicle—a transfer Moses hadn’t initiated.
Shocked, he realised someone had used his Taxpayer Identification Number (TIN) to complete the transaction. His car was being transferred without his knowledge, leaving Moses to grapple with the legal and financial fallout. Stories like Moses’ highlight the dangers of TIN misuse.
Issued by URA, your TIN is much more than just a number — it’s a gateway to your financial identity. Failing to safeguard it can lead to unauthorised transactions, financial losses, and legal troubles.
Protecting your TIN is not just about following the law—it’s about safeguarding yourself from potentially life-altering consequences. URA uses your TIN to manage your tax obligations and communicate critical information such as updates, deadlines, and notifications.
Now, imagine if someone else got hold of your TIN. They could intercept these messages and make unauthorised decisions that could leave you facing the consequences.
For importers and business owners, the stakes are even higher. Customs clearing agents need access to your TIN to process the taxes for imported goods. If a fraudster takes control of your TIN, they could alter your customs transactions, leaving you to shoulder financial losses or deal with legal disputes.
Unfortunately, even if you were unaware of the misuse, you’re still responsible for resolving the mess. Business owners must remain vigilant. A TIN is also essential for obtaining a trading licence in Uganda, which is mandatory for operating legally.
Any misuse of your TIN could lead to serious consequences. If URA detects suspicious activity linked to your TIN, they could deregister you, severely disrupting your operations and damaging your compliance record.
TIN misuse doesn’t just affect customs or business operations, it can even impact tax refunds. Imagine applying for a refund, only to find that someone else has claimed it using your TIN. The result? Lengthy delays or outright denial of refunds that are rightfully yours.
To avoid unauthorised access to your TIN, it’s crucial to take proactive steps to protect it. One effective measure is to regularly change the TIN password.
By changing your password frequently, you can ensure that even if someone gains access to the old password, they won’t be able to use it. Additionally, do not share your email passwords with anyone. Since URA communicates vital tax information via email, sharing your email login details can compromise your TIN and expose your financial information to potential fraudsters. Treat your email password as an extension of your TIN security—keep it private and secure.
If you suspect that your TIN has been compromised, act immediately. Change your URA account password to block further access. Inform URA right away to halt any transactions. Additionally, ensure your contact information on file with URA is always up to date so you don’t miss any critical notifications.
It’s also important to remember that sharing your TIN is not only risky but also illegal. Under the Tax Procedures Code Act, your TIN is personal and cannot be shared with others. Allowing someone else to use your TIN can lead to charges of impersonation. If someone using your TIN fails to meet tax obligations or commits tax fraud, you will be held accountable for their actions, potentially facing fines and legal battles.
In today’s digital age, safeguarding your TIN should be a top priority. Treat it like your most valuable asset—because in many ways, it is.
Ms Rytter. K. Muzira is the manager for communications and public relations at URA
