Minister Musasizi Explains Why NIN Is to Be Used as TIN as ICPAU Commits to Enforce AI Adoption in Accountancy Sector

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By Ben MusanjeMinister of Finance, Planning and Economic Development Henry Musasizi has clarified that the government’s decision to link Uganda’s National Identification Number (NIN) with the Tax Identification Number (TIN) is intended to improve tax administration and revenue mobilization, rather than abolish the TIN system.Musasizi said the National Identification Number issued by the National Identification and Registration Authority (NIRA) and the TIN issued by the Uganda Revenue Authority (URA) will have to be interoperable so that government can identify eligible taxpayers and improve compliance.“We are not saying the NIN is the TIN. We are saying the NIN and the TIN must be able to read each other,” Musasizi said.His remarks follow Cabinet approval this week of the use of the NIN as a tax identifier. The decision was taken during a Cabinet meeting chaired by President Yoweri Museveni at State House, Entebbe, on Monday.Musasizi explained that linking the two identification systems would help government close gaps between the population registered with national identification documents and those appearing on the tax register.He said Uganda has millions of people registered with national identification numbers, while a smaller number are captured in the tax register. Linking the systems, he argued, would help government establish which people within the taxable age and income bracket have not been captured for tax purposes.“When you link the two, you will be able to know who has been evading tax and who has been paid, so that you capture everybody for tax purposes,” he said.He stressed that the move does not mean the NIN has replaced the TIN, but rather that the two systems must be able to exchange information for revenue mobilization.Government systems must become interoperableMusasizi also used the occasion to call for greater integration of government information systems, arguing that digitization alone is insufficient if systems cannot communicate with one another.He said systems operated by institutions such as URA, the national identification authority, procurement agencies and government payroll systems should be able to share relevant information securely.“The world now is going digital,” Musasizi said, adding that government systems “must not only be digital, but interoperable.”According to the minister, interconnected systems would improve transparency, reduce duplication and enable government to obtain a clearer picture of citizens’ and businesses’ interactions with the state.“Technology is around us. We just have to prepare to be ahead of it, but not wait for it to be ahead of us,” he said.ICPAU pledges continued AI adoptionThe remarks came as the Institute of Certified Public Accountants of Uganda (ICPAU) called on accountants to position themselves at the forefront of technological change, particularly the adoption of artificial intelligence (AI).ICPAU President CPA Timothy David Ediomu said accountants should embrace AI as a tool for improving their work while ensuring that human professionals remain responsible for the information and reports they produce.“AI tools enhance our work, they improve how we do our work. But at the end of the story, it is me, the accountant, who has to sign that report,” Ediomu said.He emphasized that the adoption of AI should not be viewed as a one-off event, but as a continuous process of integrating technology into professional practice.“The human, we have to keep the human in the loop,” he said.Ediomu also warned accountants to pay attention to data protection as they embrace AI, particularly the risks associated with what he described as “data colonialism.”He said accountants must ensure that sensitive information remains protected even as organizations increasingly rely on AI-powered tools.While acknowledging that some routine accounting tasks could eventually be phased out through automation, Ediomu said professional accountability would remain firmly with accountants.“The key thing is that we, the accountants, remain accountable for the information we produce,” he said.AI to become part of accountants’ trainingICPAU Secretary and Chief Executive Officer CPA Derrick Nkaja said the institute is already incorporating data analysis and data science into the training of accountants to prepare them for an increasingly technology-driven profession.Nkaja compared the adoption of AI to the way accountants previously embraced spreadsheets, saying technological change would continue to evolve rather than replace the profession entirely.“On the side of learning, we embrace AI the way we embrace spreadsheets,” he said.He explained that because AI tools rely heavily on data, accountants who understand data management, data analysis and data processes will be better positioned to use AI effectively and serve their clients.“We have included data analysis, data science into the learning of an accountant so that they are able to understand the process of data management and data analysis,” Nkaja said.Accountants challenged on budget managementNkaja also challenged accountants to play a stronger role in budget control and management, particularly within public institutions.He noted that Uganda’s public finance management framework places responsibility for budgets on accounting officers, who are not necessarily accountants.As a result, he urged professional accountants to use their technical knowledge and influence to persuade accounting officers to strengthen budget management.“It requires… the accountants, use your persuasiveness, not your authority, but persuade the accounting officer to understand budget control and budget management,” he said.NSSF pushes digital services for village savings groupsMeanwhile, National Social Security Fund (NSSF) Managing Director Patrick Ayota said the organisation is exploring ways of extending digital administrative services to village savings groups and informal saving circles.Ayota said NSSF already uses existing mobile-money and other digital platforms to bring services closer to communities.He said the fund is also considering a programme that would enable savings groups to open bank accounts and electronically manage their savings and records.The initiative, he explained, would allow groups to maintain better records while continuing to lend money to their members.The proposal would also help reduce the risks associated with keeping savings informally, while enabling groups to track loans and repayments electronically.Seminar brings together more than 2,000 professionalsThe discussions took place during the opening of the 31st ICPAU Annual Seminar at Imperial Resort Beach Hotel in Entebbe.Held under the theme “Transforming Institutions and Lives for Sustainable Growth,” the three-day seminar has brought together more than 2,000 accountants and other professionals for knowledge-sharing, networking and professional development.The annual seminar is the largest gathering of accountants and other professionals organised by ICPAU.This year’s discussions are focusing heavily on how professionals can adapt to technological change while maintaining accountability, ethical standards and the human judgement required in professional decision-making.For ICPAU, the message is clear: AI is becoming an increasingly important part of accounting practice, but technology will not remove the need for professional responsibility.As Ediomu put it, accountants can embrace AI and automate routine tasks, but they must remain accountable for the final work they sign off. 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