Artificial Intelligence Challenges in Developing a Taxation System for Community Welfare

Abstract

Artificial Intelligence (AI) more and more people are interested in this field as a result of the development and use of technology in Indonesia. As a result of the rapid development of technology, artificial intelligence (AI) has begun to influence various aspects of our lives, including the world of business and the realm of public administration. In Indonesia, the development of artificial intelligence has become one of the main focuses in the country's efforts to increase innovation and competitiveness. Artificial intelligence (AI) has brought major changes to every aspect of human life, one of which is the taxation system. One of the largest sources of state treasury revenue is taxes used for development to ensure people's welfare. As a result, the country's welfare development is very dependent on the income sector. However, it is difficult for the country to collect taxes because so many taxpayers do not pay them, which is a problem in itself. Tax is a mandatory contribution to the state owed according to regulations by a taxpayer (WP), who can be directly appointed who does not receive achievements which are used to finance general expenses for running the government. The Indonesian government institution tasked with collecting tax revenues as well as carrying out tax administration functions is the Directorate General of Taxes. Indonesia is a country of law and all forms of action taken by the government and society must be based on applicable legal norms. The government must rethink and modernize the tax system to overcome this problem, especially by utilizing increasingly sophisticated digital technology. Artificial intelligence is a digital technology that can be used as a solution to existing problems.