AI for Agencies: Modernization and Taxpayer Services

Artificial intelligence offers a transformative opportunity within federal agencies. The Internal Revenue Service’s (IRS) efforts to modernize operations, enhance taxpayer experiences, and optimize workforce management, provide an excellent example of AI’s potential for consequential change.

The IRS is employing a use-case-driven strategy in adopting AI, focusing on addressing specific, tangible challenges. Further, AI is reshaping taxpayer services by enhancing interactions with taxpayers, optimizing operational efficiency, and improving compliance monitoring. This new technology will modernize legacy systems at the IRS, highlighting the opportunities for innovation that generative AI provides. It also is improving workforce management, including streamlining HR operations ad enhancing employees’ experiences and work environment.