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AI Revolutionizes Tax and Accounting: KPMG’s New Metrics and Key Insights for 2025

KPMG integrates AI into performance reviews, marking a pivotal shift in tax and accounting, as experts predict enhanced accuracy and efficiency in 2025.

In 2025, the integration of artificial intelligence (AI) into professional services has reached a critical point, with tax and accounting sectors no exception to this trend. The use of AI tools has become essential for tax and accounting professionals, whose ability to stay competitive relies heavily on adapting to the evolving technological landscape.

Experts in the field have highlighted the extent to which AI has become embedded in daily operations. A notable shift is represented by KPMG LLP, which recently began evaluating staff on their use of AI tools during annual performance reviews. This significant change underscores a structural evolution in how professional services firms assess performance and value, a long-overdue adjustment according to Patrick Morgan’s James O’Dowd in a December article.

In the context of regulatory frameworks, policy expert and former IRS commissioner Danny Werfel addressed the ongoing debate regarding government control over AI standards. He emphasized the need for a neutral, digital guide to assist citizens in navigating the complexities of AI information, as detailed in his December commentary. This highlights a broader concern regarding the accessibility of accurate AI-related resources amidst increasing regulatory discussions.

The potential of AI within the tax sector is immense, as outlined by KPMG’s Christian Stender and Eduard Seregin in their September analysis. They argue that AI can enhance the accuracy and efficiency with which both routine operations and complex tax issues are managed. The integration of machine learning with human expertise is set to redefine traditional practices, making it increasingly crucial for professionals to embrace these technologies.

However, the transition to an AI-driven approach in tax services is not without its challenges. Tax attorney Sofia Larrea raised important concerns about fairness, transparency, and efficiency in automated tax systems in her July piece. These core principles must be upheld to ensure that any automated system remains equitable and serves the interests of all stakeholders.

Moreover, experts urge that while AI can automate many processes, the human element in tax firms should not be overlooked. Flavia Sundfeld from Uber noted in July that maintaining critical thinking skills and professional development opportunities for employees is essential, even as AI takes on more responsibilities. This balance between automation and human oversight is vital for fostering a resilient workforce ready for future challenges.

The ongoing developments in AI within the tax and accounting sectors reflect a broader trend impacting various professional services. As firms increasingly adopt AI technologies, the emphasis will likely shift toward cultivating skills that complement these tools, enabling professionals to extract maximum value from the AI capabilities at their disposal.

This evolution in the tax and accounting landscape is not just a fleeting trend; it represents a fundamental transformation that will shape the future of these professions. As AI continues to advance, the integration of technology will redefine not only how tax and accounting services are delivered but also the skills required of those delivering them.

For more information on these trends, visit KPMG, IRS, and Uber.

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The AiPressa Staff team brings you comprehensive coverage of the artificial intelligence industry, including breaking news, research developments, business trends, and policy updates. Our mission is to keep you informed about the rapidly evolving world of AI technology.

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