No Result
View All Result
SUBMIT YOUR ARTICLES
  • Login
Friday, October 24, 2025
TheAdviserMagazine.com
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal
No Result
View All Result
TheAdviserMagazine.com
No Result
View All Result
Home IRS & Taxes

Exploring the future of tax automation, efficiency, and accuracy

by TheAdviserMagazine
2 months ago
in IRS & Taxes
Reading Time: 4 mins read
A A
Exploring the future of tax automation, efficiency, and accuracy
Share on FacebookShare on TwitterShare on LInkedIn


Tax and accounting professionals are leveraging automation and AI to streamline workflows, reduce errors, and unlock significant efficiency gains. Discover how the latest technologies are transforming daily operations and driving measurable value for firms.

Jump to ↓

Tax and accounting professionals face a perfect storm of challenges in today’s environment: talent shortage, workload compression, regulatory changes, and technological innovation. How can firms stay competitive, deliver quality services, and achieve work-life balance amid these pressures? The answer lies in tax automation.

Tax automation is the use of technology to streamline and optimize the tax preparation process, from gathering source documents to filing returns. By leveraging automation, firms can reduce manual tasks, errors, and costs, while increasing speed, accuracy, and insights. This can lead to improved profitability, client satisfaction, and staff retention.

In this blog post, we summarize key insights from our webinar with industry experts Allen Stahl and Will Hosek, who discussed the future of tax automation and how to elevate your firm’s efficiency and accuracy.

The tax environment and the need for efficiency 

According to the 2025 State of Tax Professionals Report, driving operational efficiency remains the top priority for tax and accounting firms. The report highlights the ongoing challenges such as workload compression, talent shortage, regulatory changes, and technological innovation, reinforcing the need for streamlined workflows and increased productivity.

One of the ways to achieve efficiency is to adopt an open ecosystem approach, which allows firms to integrate with best-of-breed solutions and leverage data and insights from different sources.

An open ecosystem can help firms automate their processes, enhance collaboration, and improve decision-making. Thomson Reuters is committed to fostering an open ecosystem and providing firms with the tools and platforms to connect with their preferred solutions.

The role of automation, APIs, and AI in enhancing efficiency and accuracy 

Automation, APIs, and AI are three key technologies that can help firms enhance their efficiency and accuracy in the tax prep process.

Automation refers to the use of software or machines to perform tasks that would otherwise require human intervention, such as data entry, verification, indexing, and classification.
APIs, or application programming interfaces, are the means by which different software applications can communicate and exchange data.
AI, or artificial intelligence, is the ability of machines to perform tasks that require human intelligence, such as natural language processing, optical character recognition, data extraction, and verification.

As Will Hosek explained in the webcast, these technologies can help firms streamline their workflows, reduce errors, improve the quality of services, and access data and insights to drive decision-making.

He also provided some examples of how Thomson Reuters and SurePrep are using automation, APIs, and AI to deliver value to their customers and foster an open ecosystem. Some of these examples are:

Generative AI: Produces text, video, images, and other types of content. ChatGPT is an example of a generative AI application that produces text based on user prompts.
Project DILLY: A generative AI model that creates natural language summaries of tax returns and provides insights and recommendations for tax professionals and their clients.
AutoVerification: Automatically verifies the accuracy of data extracted from source documents and flags discrepancies or errors.

New insights on AI from the Future of Professionals Report

As artificial intelligence continues to reshape tax and accounting norms, recent research highlights its growing influence and tangible benefits for firms. Consider these key findings:

AI Impact: 79% of professionals believe AI will have a high or transformational impact within five years.
ROI from AI: 54% of firms are already seeing returns from AI initiatives.
Efficiency Gains: AI is projected to save professionals 5 hours per week, unlocking an average value of $24,000 per professional annually.

Real-world examples of AI optimizing tax workflows

AI is powering practical solutions that streamline everyday tasks. Here are some of the most impactful ways it’s being used to drive efficiency and accuracy in the profession:

Natural language processing (NLP): Enables tax software to automatically interpret and organize client communications, extract relevant information from emails and documents, and even draft responses or summaries.

→ This saves professionals time on manual review and correspondence.

Optical character recognition (OCR): Allows practitioners to quickly scan and digitize paper tax forms, receipts, and supporting documents.

→ This reduces data entry errors and accelerates the preparation process.

Data extraction and verification: AI tools can automatically pull key figures from source documents and cross-check them against client records or regulatory requirements.

→ This helps professionals ensure accuracy and compliance without tedious manual checks.

Agentic AI: Advanced AI systems can autonomously manage routine tasks, such as tracking deadlines, flagging missing information, or initiating follow-ups with clients.

→ This empowers tax and accounting professionals to focus on advisory work and complex problem-solving, while AI handles repetitive workflow management and adapts to evolving firm needs.

These technologies are not only improving efficiency and accuracy but also transforming client relationships and the role of the tax professional. Automation, APIs, and AI help tax professionals move from being data processors to trusted advisors who provide value-added services and insights.

 

Considerations for the role of AI in your tax firm 

AI is not a magic bullet. It has limitations and may make mistakes, especially when using free models trained on public internet forums.

Firms need to be realistic and responsible when using AI, understanding its strengths and weaknesses. It’s not meant to replace human professionals, but to augment and assist them.

It can automate low-value and repetitive tasks, freeing up time and resources for high-value and strategic tasks, such as providing advisory services, building client relationships, and developing new skills.

The future of tax automation and opportunities for firms 

Tax automation is the key to boosting your firm’s efficiency and accuracy and staying ahead of the curve in the tax and accounting industry. By leveraging automation, APIs, and AI, you can streamline workflows, reduce errors, enhance quality, and increase profitability. You can also improve client satisfaction, staff retention, and position your firm as a trusted advisor and technology leader.



Source link

Tags: accuracyautomationEfficiencyExploringfuturetax
ShareTweetShare
Previous Post

Is APH Outperforming the Technology Sector?

Next Post

Etherealize Raises $40M to Market Ethereum to Finance Firms

Related Posts

edit post
7 Red Flags the IRS Spots Fast |

7 Red Flags the IRS Spots Fast |

by TheAdviserMagazine
October 23, 2025
0

Why Does Bookkeeping Matter So Much for Landlords? For real estate investors, bookkeeping is more than tracking numbers—it’s about protecting...

edit post
2025 Spanish Regional Tax Competitiveness Index

2025 Spanish Regional Tax Competitiveness Index

by TheAdviserMagazine
October 23, 2025
0

Below is an excerpt of the 2025 Spanish Regional TaxA tax is a mandatory payment or charge collected by local,...

edit post
7 Organizational Tips to Make Tax Filing Easy

7 Organizational Tips to Make Tax Filing Easy

by TheAdviserMagazine
October 22, 2025
0

There are often two types of tax filers: Those who neatly file their tax information and receipts away in color-coded...

edit post
Ashley Carroll: The ROI of Relationships

Ashley Carroll: The ROI of Relationships

by TheAdviserMagazine
October 22, 2025
0

In this episode of the Canopy Practice Success Podcast, host KC Brothers talks with Ashley Carroll, founder of Operations House,...

edit post
The Tax Season Switch That Changed Everything

The Tax Season Switch That Changed Everything

by TheAdviserMagazine
October 22, 2025
0

  Profile For 46 years, Financial Solution Advisors has thrived as a boutique firm in Jacksonville, Florida, built on deep...

edit post
Why most tax departments aren’t using AI yet

Why most tax departments aren’t using AI yet

by TheAdviserMagazine
October 22, 2025
0

  Highlights:  The adoption paradox — While 67% of corporate tax departments aren’t using GenAI yet, 57% implementing new technologies plan...

Next Post
edit post
Etherealize Raises M to Market Ethereum to Finance Firms

Etherealize Raises $40M to Market Ethereum to Finance Firms

edit post
How to build a core couch potato portfolio

How to build a core couch potato portfolio

  • Trending
  • Comments
  • Latest
edit post
77-year-old popular furniture retailer closes store locations

77-year-old popular furniture retailer closes store locations

October 18, 2025
edit post
Pennsylvania House of Representatives Rejects Update to Child Custody Laws

Pennsylvania House of Representatives Rejects Update to Child Custody Laws

October 7, 2025
edit post
What to Do When a Loved One Dies in North Carolina

What to Do When a Loved One Dies in North Carolina

October 8, 2025
edit post
Probate vs. Non-Probate Assets: What’s the Difference?

Probate vs. Non-Probate Assets: What’s the Difference?

October 17, 2025
edit post
California Attorney Pleads Guilty For Role In 2M Ponzi Scheme

California Attorney Pleads Guilty For Role In $912M Ponzi Scheme

October 15, 2025
edit post
Baby Boomers Are Flocking to This Florida Town — but Not for the Weather

Baby Boomers Are Flocking to This Florida Town — but Not for the Weather

October 9, 2025
edit post
3M Company (MMM) Soars to All-Time High on Strong Sales, Upbeat Outlook

3M Company (MMM) Soars to All-Time High on Strong Sales, Upbeat Outlook

0
edit post
Earnings: Blackstone Q3 2025 revenue and profit decline YoY

Earnings: Blackstone Q3 2025 revenue and profit decline YoY

0
edit post
Real Estate is Getting Riskier…and It’s Making Investors Wealthy

Real Estate is Getting Riskier…and It’s Making Investors Wealthy

0
edit post
Europe Fears A US Civil War – Whiskey Rebellion To Now

Europe Fears A US Civil War – Whiskey Rebellion To Now

0
edit post
Tomatoes Rs 600 per kg, capsicum Rs 300: Pakistanis are paying a heavy price after conflict with Afghanistan

Tomatoes Rs 600 per kg, capsicum Rs 300: Pakistanis are paying a heavy price after conflict with Afghanistan

0
edit post
Hyperliquid Price Breaks Key Resistance as B Fundraising and IPO Plans Gain Traction

Hyperliquid Price Breaks Key Resistance as $1B Fundraising and IPO Plans Gain Traction

0
edit post
Hyperliquid Price Breaks Key Resistance as B Fundraising and IPO Plans Gain Traction

Hyperliquid Price Breaks Key Resistance as $1B Fundraising and IPO Plans Gain Traction

October 24, 2025
edit post
Tomatoes Rs 600 per kg, capsicum Rs 300: Pakistanis are paying a heavy price after conflict with Afghanistan

Tomatoes Rs 600 per kg, capsicum Rs 300: Pakistanis are paying a heavy price after conflict with Afghanistan

October 24, 2025
edit post
Europe Fears A US Civil War – Whiskey Rebellion To Now

Europe Fears A US Civil War – Whiskey Rebellion To Now

October 24, 2025
edit post
US Dollars Go On-Chain as Uphold and Vast Bank Fuse Banking With Blockchain

US Dollars Go On-Chain as Uphold and Vast Bank Fuse Banking With Blockchain

October 23, 2025
edit post
Goldman aims for ‘PE returns’ with new ETF

Goldman aims for ‘PE returns’ with new ETF

October 23, 2025
edit post
Polyamory’s Secret Money Traps: How Multiple Partners Could Cost You Thousands (And How to Avoid Them)

Polyamory’s Secret Money Traps: How Multiple Partners Could Cost You Thousands (And How to Avoid Them)

October 23, 2025
The Adviser Magazine

The first and only national digital and print magazine that connects individuals, families, and businesses to Fee-Only financial advisers, accountants, attorneys and college guidance counselors.

CATEGORIES

  • 401k Plans
  • Business
  • College
  • Cryptocurrency
  • Economy
  • Estate Plans
  • Financial Planning
  • Investing
  • IRS & Taxes
  • Legal
  • Market Analysis
  • Markets
  • Medicare
  • Money
  • Personal Finance
  • Social Security
  • Startups
  • Stock Market
  • Trading

LATEST UPDATES

  • Hyperliquid Price Breaks Key Resistance as $1B Fundraising and IPO Plans Gain Traction
  • Tomatoes Rs 600 per kg, capsicum Rs 300: Pakistanis are paying a heavy price after conflict with Afghanistan
  • Europe Fears A US Civil War – Whiskey Rebellion To Now
  • Our Great Privacy Policy
  • Terms of Use, Legal Notices & Disclosures
  • Contact us
  • About Us

© Copyright 2024 All Rights Reserved
See articles for original source and related links to external sites.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal

© Copyright 2024 All Rights Reserved
See articles for original source and related links to external sites.