Sri Lanka ponders use of national identity card number for TIN

The government is considering issuing the Taxpayer Identification Number (TIN) with the assistance of the Department for Registration of Persons, using the National Identity Card (NIC) numbers, State Minister of Finance Ranjith Siyambalapitiya said.

State Minister of Finance Ranjith Siyambalapitiya told reporters that a discussion in this regard was held at the Presidential Secretariat on Tuesday January 23 with the participation of the Secretary to the President, the Chief Economic Advisor to the President, the Commissioner General of the Inland Revenue Department (IRD) and other officials.

Siyambalapitiya said the discussion had focused on the possibility of using existing biographical data of citizens already recorded by various state bodies that routinely deal with members of the public.

“There are around 14 to 15 million Sri Lankans who are over 18. The Department of Registration of Persons has all that data. Our plan is to get that data from them and go for a bulk registration process. This would be the easiest way as people could use their existing NIC number to register,” he said.

“We also have a plan to migrate to a digital NIC. With that, a clear data structure is created in the country with regard to state revenue. This is our goal,” he added.

TIN registration has been made compulsory for all citizens over the age of 18, with the January 31 deadline to be further extended.

The state minister said at the time that the government intends to shift the balance in direct versus indirect tax, which currently stands at 30 and 40 percent respectively.

“This adjustment aligns with the conditions of developed countries and promotes social justice. In a population of one million capable taxpayers, only 500,000 individuals are currently fulfilling this obligation. Identifying tax evaders and bringing them into the tax net is crucial to reduce indirect taxes,” he said.