New Delhi, Jan. 5 -- Are tax officials now turning to artificial intelligence to detect mistakes and uncover potential tax evasion? A recent report by the International Monetary Fund (IMF) suggests that this shift is already underway.

The report highlights how generative AI-the technology that powers tools like ChatGPT-can process enormous volumes of tax-related information in seconds. Unlike humans, who may take hours or days to analyse complex filings, AI can rapidly read, sort and interpret financial data, allowing it to flag suspicious patterns or anomalies almost instantly. This makes it a powerful early-warning system that could help administrators catch errors or evasive behaviour before they slip through the cracks.

Generative A...