EVOLVING TAX COMPLIANCE IN THE DIGITAL ERA: A COMPARATIVE ANALYSIS OF AI-DRIVEN MODELS AND BLOCKCHAIN TECHNOLOGY IN U.S. TAX ADMINISTRATION

Authors

  • Odunayo Adewunmi Adelekan PWC Lagos, Nigeria
  • Olawale Adisa Jack Welch College of Business, Department of Economics, Sacred Heart University, Fairfield, USA
  • Bamidele Segun Ilugbusi Department of Business Administration, Afe Babalola University, Ado-Ekiti, Nigeria
  • Ogugua Chimezie Obi Independent Researcher, Lagos, Nigeria
  • Kehinde Feranmi Awonuga Independent Researcher, UK
  • Onyeka Franca Asuzu Dangote Sugar Refinery Plc, Nigeria.
  • Ndubuisi Leonard Ndubuisi Spacepointe Limited Rivers State, Nigeria

DOI:

https://doi.org/10.51594/csitrj.v5i2.759

Abstract

This paper aims to provide a comprehensive review of the integration of artificial intelligence (AI) and blockchain technology in U.S. tax administration. It explores how these technologies are revolutionizing tax compliance and fraud detection, offering a comparative analysis with traditional methods. The paper highlights the potential benefits of these technologies in enhancing efficiency, accuracy, and transparency in tax administration, aligning with the U.S. government's objectives of ensuring fiscal integrity and public trust. The review also examines international best practices and proposes how the U.S. can leverage these technologies to maintain its global leadership in financial governance and innovation. The study is structured around four key objectives: assessing the current integration of AI and blockchain in tax administration, evaluating their effectiveness in enhancing tax compliance, identifying implementation challenges, and developing strategic recommendations. Employing a comprehensive literature review approach, the study synthesizes findings from various sources to provide an in-depth understanding of the role and impact of these technologies in modern tax systems. The results reveal that AI and blockchain significantly improve tax compliance and administration efficiency but also introduce challenges such as data privacy concerns and the need for robust regulatory frameworks. In conclusion, the study underscores the transformative potential of AI and blockchain in tax administration, recommending continuous research and development, coupled with stakeholder education and engagement. These efforts are crucial for overcoming operational challenges and fully harnessing the benefits of these technologies in modernizing tax systems. The paper concludes with strategic recommendations for policymakers, tax authorities, and researchers, emphasizing the importance of a balanced approach that fosters technological innovation while maintaining legal compliance and adherence to fundamental principles.

Keywords: Artificial Intelligence, Blockchain, Tax Administration, Tax Compliance, Digital Transformation, Financial Governance.

Published

2024-02-03

How to Cite

Odunayo Adewunmi Adelekan, Olawale Adisa, Bamidele Segun Ilugbusi, Ogugua Chimezie Obi, Kehinde Feranmi Awonuga, Onyeka Franca Asuzu, & Ndubuisi Leonard Ndubuisi. (2024). EVOLVING TAX COMPLIANCE IN THE DIGITAL ERA: A COMPARATIVE ANALYSIS OF AI-DRIVEN MODELS AND BLOCKCHAIN TECHNOLOGY IN U.S. TAX ADMINISTRATION. Computer Science & IT Research Journal, 5(2), 311-335. https://doi.org/10.51594/csitrj.v5i2.759

Issue

Section

Articles