Still, with hundreds and thousands of outcomes available to train their AI models, we are inevitably entering a highly gamified system where larger entities possess greater powers to achieve a desired outcome than other agents.
Shifting the lens away from using AI as a tool to combat fraud, it can also be used to help build trust between administrations and their tax base and assist with tax collection.
In early 2018, the Irish Revenue Commissioners examined the use of a natural language processor to deliver improved customer services in a subset of calls from taxpayers relating to clearance matters.
In 2021, it was reported that 50 per cent of calls were handled from start to finish by the voicebot, 75 per cent of tax clearance holders were able to retrieve access numbers from the bot, and only 10 per cent were transferred to human operators due to the inability of the bot to understand the user request.
In 2017, the Spanish Tax Agency introduced a VAT chatbot to assist taxpayers with their understanding and obligations.
The UK has much to learn from these efforts. With the news of upgrading Snap to combat fraud at a time when HMRC customer service levels are at a historic low, it is evident a shift is needed to use this technology to facilitate willing taxpayer access to HMRC.
Ben Lee is a partner at tax consultancy Andersen
