- Shift from Reactive to Proactive: Agentic AI transforms tax teams from merely responding to compliance tasks to proactively strategizing and executing actions autonomously. This capability enables tax professionals to focus on higher-value activities rather than repetitive tasks.
- Enhanced Efficiency through Orchestration: Unlike traditional automation, Agentic AI orchestrates various processes by extracting data, scanning for anomalies, reconciling positions, and generating tailored outputs. This orchestration can significantly streamline tax preparation and compliance workflows, making processes more efficient.
- Dependence on Data and Governance: The effectiveness of Agentic AI hinges on high-quality data and robust governance frameworks. Tax leaders must oversee the integration of structured data models and connected systems to harness the full potential of this technology, ensuring it complements and enhances the expertise of skilled professionals.
Why It Matters for Tax
- Proactive Strategy: By enabling a shift towards proactive tax strategy, Agentic AI can help organizations better manage risks and seize opportunities.
- Operational Efficiency: The orchestration capabilities of Agentic AI can lead to significant reductions in time and effort spent on routine tax tasks, freeing up resources for strategic initiatives.
- Need for Oversight: Effective implementation requires strong data governance and oversight from tax leadership to avoid pitfalls and ensure that the AI enhances existing processes without introducing new challenges.
In summary, while Agentic AI presents exciting opportunities for tax teams, its successful deployment relies on careful planning, quality data, and a willingness to adapt to new technologies.
Source Geoff Peck
