The use of generative AI tools in the tax profession

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The use of generative AI tools in the tax profession

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After the initial hype, Lachlan Wolfers and Garth Roark of KPMG consider whether generative AI is seen as a fear, foe, or friend in the tax world, and explain how it could help practitioners

Generative AI tools have taken the world by storm. For tax professionals, this is no different, and it is necessary to evaluate how these generative AI technologies can, and might, enhance what tax professionals and organisations are capable of doing in the medium to long term.

An associated report linked to below explores:

  • Data, to information, to knowledge, to wisdom;

  • What fuels generative AI technologies?

  • Use cases of generative AI in the tax profession;

  • A word of caution; and

  • Where does the future of the tax profession lie?

The report explores how generative AI can assist across the tax function, and considers the future of the tax profession in a world inhabited by generative AI tools.

Areas of the tax function and how generative AI can help

Tax compliance


Generative AI tools (including working alongside traditional tax compliance tools) have the potential to streamline and render obsolete many of the very time-consuming aspects of any tax compliance process.

Tax controversy


In advance of tax controversy matters, generative AI can help tax professionals to identify, react to, and report on potential areas of controversy risk based on this information.

Tax advisory


Generative AI technologies can provide instant access to aggregated knowledge and insights, enabling tax functions to focus more on value creation and strategic activities.

Transactional activities


Generative AI can be a valuable collaborator in transaction work, helping tax professionals to access better information, make better-informed decisions, and communicate complex tax concepts and strategies more effectively to stakeholders with different backgrounds and levels of understanding.

Knowledge management


Generative AI can not only assist with the accumulation of this knowledge, but also in more effectively drawing insights or conclusions from it. And in a world in which changes in rules, regulations, and business models evolve at lightning speed, tax professionals may finally feel like they can keep up.

Business integration


Generative AI tools can help advance business integration by providing data analysis and insights closer to real time, generating simplified analyses and narratives for complex tax concepts and regulations, and producing tax impact analysis and personalised executive summaries.

Read the original version of this article on KPMG’s website: The use of Generative AI tools in the Tax Profession – After the initial hype – Fear, Foe or Friend?

Access more KPMG Future of Tax content here.

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