Research Information System
International Congress of Anadolu Public Finance, Eskişehir, Turkey, 8 - 09 March 2024, pp.215
Ensuring voluntary tax compliance has been a significant focus in both practice and literature for years. Tax administrations aim to boost compliance by simplifying procedures and improving access to tax information for taxpayers. Within this context, a key initiative is enhancing communication between tax administrations and taxpayers, considered vital for fostering compliance. Simplifying and improving communication channels is a crucial policy step. To increase the effectiveness of these communication channels as taxpayer services, which are referred to as "taxpayer touchpoints" by the OECD, it is thought that Artificial Intelligence (AI), which constitutes the most significant technological development of nowadays and is very likely to dominate the future, should be utilized. AI offers innovative solutions in taxpayer services, including voice recognition, chatbots, and digital personal assistants, transforming traditional methods. Many tax administrations are adopting AI-based chatbots, which can be described basically as computer programs designed to mimic human beings in conversations with people, and these chatbots assist in answering queries and filling out forms. The chatbots are expected to become a primary communication tool between taxpayers and administrations, with their services and impact likely to expand rapidly. This study aims to evaluate how tax administrations can use such technologies to encourage voluntary compliance and increase revenue, offering new policy recommendations. It begins with an overview of chatbots, analyses their use globally by tax administrations, and categorizes their functions. The study concludes with current assessments and future projections for policy recommendations, highlighting the potential of AI in enhancing taxpayer services and compliance.