The article argues that fully autonomous AI agents will not replace tax professionals in indirect tax due to reliability constraints and the need for structured workflows. It emphasizes that progress comes from workflow design rather than model capability, and that AI agents should be used as supervised assistants to coordinate multi‑step processes. The future will see narrow, supervised agents complementing deterministic tax engines rather than replacing them.
They lack reliability; each step introduces a probability of failure, making it hard to achieve 99% reliability.
Use structured multi‑step workflows with planning, information gathering, drafting, review, and revision, rather than single‑step prompts.
As assistants embedded in day‑to‑day work or to connect multi‑step processes, under human supervision and with clear boundaries.
They can coordinate workflows, reduce manual handoffs, monitor changes, highlight anomalies, and surface inconsistencies for human review.
They will be narrow, supervised, and grounded in well‑defined data, coexisting with deterministic tax engines rather than replacing them.
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Thomson Reuters · 6 days ago
This Thomson Reuters blog outlines the growing complexities of indirect tax compliance, from global VAT and GST rules to real‑time reporting demands, and explains how AI, cloud platforms and integrated solutions can automate filings, improve accuracy and reduce audit risk.
Global VAT Compliance · 10 days ago
The OECD’s sixth VAT Forum highlighted the crypto economy and advances in artificial intelligence as emerging challenges for VAT administration. Participants discussed real‑time data collection and the SCAN‑VAT platform to strengthen compliance and combat fraud. The meeting, held from 26 to 29 January, underscored the need for coordinated international approaches.
LinkedIn · 13 days ago
The United Nations has released a new publication that consolidates four guidance papers aimed at strengthening VAT/GST systems in developing countries. The guidance covers fundamentals, small enterprises, refunds, and technology and compliance, including e‑invoicing, electronic reporting and big‑data analytics. It encourages tax administrations to adopt technologies thoughtfully rather than as one‑size‑fits‑all solutions.
Fonoa · 18 days ago
The blog explains that even when e-invoices pass technical validation, tax authorities may reject them due to jurisdiction‑specific enrichment requirements. It outlines nine enrichment types—formatting, sequencing, tax calculation, address, digital signatures, regulatory compliance, classification, completeness, and content sanitization—across multiple countries. Common pitfalls highlighted include missing VAT exemption text, improper rounding, and lack of cryptographic proofs.
Deloitte · 19 days ago
Deloitte and Thomson Reuters announced a strategic alliance on 21 January 2026 to provide managed e‑invoicing and e‑reporting services worldwide, leveraging Thomson Reuters ONESOURCE Pagero. The partnership offers global coverage across more than 80 jurisdictions, aiming to reduce compliance risk, improve operational efficiency, and deliver data‑driven insights for indirect tax compliance.
Baker McKenzie · 21 days ago
The article outlines how AI and advanced analytics are sharpening audit precision, highlights intensified transfer pricing scrutiny, and stresses the need for businesses to prepare for Pillar Two global minimum tax rules. It emphasizes pre‑audit readiness, real‑time data integrity, and cross‑functional alignment to mitigate risk in a rapidly evolving regulatory landscape.
