In a current webinar, three main tax know-how corporations, Thomson Reuters, Neo.Tax, and Orbitax, got here collectively to point out how AI is driving transformation in company tax. The panel shared real-world examples and forward-looking insights that reveal the place AI is headed subsequent.

If you’re a company tax skilled coping with rising regulatory complexity, tighter deadlines, and stress to ship strategic insights, this publish is for you. We’ll break down a very powerful takeaways from the webinar and present you find out how to shift from reactive problem-solving to proactive technique utilizing sensible, AI-powered options.

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From AI to LLMs: Breaking down the fundamentals

Earlier than diving into purposes, the panelists clarified the core ideas:

• Synthetic intelligence (AI) refers to computer systems performing human-like duties, equivalent to classifying paperwork or drafting emails.
• Machine studying (ML) is a subset of AI that learns patterns from historic information to make predictions, like figuring out audit threat.
• Generative AI (GenAI) goes additional by creating new content material equivalent to textual content, code, or photos, primarily based on discovered patterns.

Giant language fashions (LLMs), equivalent to GPT-4 and Claude, are educated on large quantities of textual content and excel at duties like summarizing documentation or answering complicated questions. Nonetheless, they battle with rule-based logic and deterministic duties like fixing math issues. Understanding these strengths and limitations is vital to utilizing AI successfully in tax workflows.

Macro developments driving AI adoption

Tax departments are below stress. Laws like Pillar Two, e-invoicing, and real-time reporting are rising in complexity. On the similar time, tax groups are anticipated to ship sooner insights, guarantee world compliance, and act as strategic companions to the enterprise—all whereas managing fragmented methods and restricted assets.

4 main developments are accelerating AI adoption:

1. Computational energy is rising exponentially, making superior fashions extra accessible.
2. World information is doubling each two years, a lot of it labeled and prepared for coaching.
3. Enterprise capital funding in AI startups has surpassed $100 billion in 2025 alone.
4. Breakthroughs in mannequin structure, equivalent to Transformers, have unlocked new capabilities.

These forces have pushed AI past expectations, creating a niche between what’s doable and what many company tax groups are ready for. That hole can really feel overwhelming, nevertheless it’s additionally the place the most important alternatives lie.

Neo.Tax R&D Credit score Supervisor

ONESOURCE and Neo.Tax modernize the R&D tax credit score course of

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Actual-world AI use instances in tax tech

Thomson Reuters: Constructing clever compliance

Thomson Reuters is targeted on clever compliance, utilizing AI to consolidate tax information and ship actionable insights. Their method integrates AI into current workflows and automates particular duties end-to-end

Thomson Reuters has partnered with Orbitax for over 15 years. Collectively, they’ve constructed worldwide tax capabilities into platforms like ONESOURCE and Checkpoint. These integrations assist streamline world compliance for company tax groups.

Key capabilities embody:

• AI-powered chart of accounts mapping
• Product classification for oblique tax and world commerce
• Regulatory insights grounded in Checkpoint content material
• CoCounsel Tax, a safe analysis and workflow platform that permits junior employees to supply senior-level work and reduces reliance on exterior advisors

Neo.Tax: Automating R&D and software program capitalization

Neo.Tax has constructed a totally automated pipeline for R&D tax credit and ASC 350-40 compliance. In partnership with Thomson Reuters, these AI-powered workflows are being embedded immediately into ONESOURCE, enabling higher effectivity and accuracy for company tax groups. Their AI fashions:

• Determine and cluster information from undertaking administration instruments—equivalent to Jira, Asana, AzureDevOps, and GitHub—into tasks
• Decide how a lot effort (when it comes to relative time) every worker spent engaged on every undertaking
• Qualify tasks for the R&D tax credit score utilizing the IRS’s four-part check
• Reconcile payroll and basic ledger information to allocate prices to tasks
• Generate audit-ready documentation

This method saves time, reduces threat, and allows sooner tax planning. Neo.Tax can also be increasing into monetary planning, tax forecasting, and switch pricing automation within the close to future.

Orbitax: Powering worldwide tax analysis

Orbitax’s XatBot is a conversational AI assistant embedded into their worldwide tax platform. It gives on the spot solutions to complicated tax questions utilizing Orbitax’s proprietary world tax library.

Coming quickly:

• XatBot Monitor, which tracks tax legislation adjustments and distributes comparability experiences to stakeholders
• Situation evaluation instruments that permit customers to question tax return information immediately and extract insights immediately

These instruments are particularly priceless for world minimal tax compliance, serving to tax groups keep forward of regulatory adjustments and reply with confidence.

Orbitax World Minimal Tax

Keep compliant with quickly evolving Pillar 2 world minimal tax rules

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What’s subsequent for AI in company tax

AI is about to reshape much more areas of tax operations. Right here’s the place we count on the most important affect forward:

• Statutory reporting: Agentic workflows will automate doc creation and information mapping, whereas adapting to jurisdictional adjustments in actual time.
• Oblique tax: AI will improve reconciliation and product classification by predicting anomalies and adjusting to evolving tax codes.
• World commerce: Count on AI to assist proactive tariff planning and state of affairs modeling, serving to groups reply to geopolitical shifts and provide chain disruptions.
• Switch pricing and tax forecasting: GenAI will allow real-time simulations, permitting tax leaders to check pricing methods and forecast outcomes with higher precision.

As AI turns into extra embedded in tax workflows, the main focus will shift from automation to augmentation. This empowers company tax leaders to make sooner, smarter selections.

Addressing myths and safety considerations

AI adoption usually raises questions on information privateness and reliability. The panelists addressed a number of widespread myths:

• AI doesn’t retailer all information without end. Enterprise-grade instruments course of information securely and ephemerally.
• AI just isn’t changing tax professionals. It limits guide work and allows strategic oversight.
• AI might be trusted when grounded in structured inputs and paired with human evaluate.

Neo.Tax, Thomson Reuters, and Orbitax all supply strong information safety, together with encryption, anonymization, opt-out controls, and compliance with SOC 2, ISO 27001, and GDPR.

Construct momentum with focused AI adoption

AI is already remodeling company tax operations. To harness its full potential, your group ought to take these 4 sensible steps:

1. Assess your present workflows and determine ache factors
2. Begin small with focused automation
3. Construct a strategic roadmap with clear metrics
4. Have interaction trusted companions to speed up adoption

Whether or not you need to streamline your R&D credit score, keep forward of worldwide minimal tax rules, or unlock new efficiencies in oblique tax, AI provides a transparent path ahead.

Discover the options

• Neo.Tax: Automate your R&D credit score and ASC 350-40 workflows with precision and pace
• World minimal tax: Keep forward of Pillar Two compliance with built-in options from Orbitax and Thomson Reuters