OECD report finds limited AI use in tax administrations amid regulatory barriers
Chris Danes · Posted on: September 30th 2025 · read
On 18 September 2025, the OECD released its report Governing with Artificial Intelligence, analysing over 200 use cases to assess how Artificial Intelligence (AI) is transforming core government functions.
While AI is increasingly used in public service delivery, justice administration and civic engagement, its adoption in tax administration remains limited due to regulatory constraints and data governance challenges, the report said.
Regulatory constraints, such as restrictions on using tax data, have been limiting AI deployment in tax domains.
The report is accessible here.
Chris Danes, Tax Partner at MHA concludes
"This is an interesting insight from the OECD, when the winds of change in business and various tax authorities is such that AI can represent significant benefits in relation to efficiency, error identification, big data analysis etc."
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