Digital Transformation of Tax Administration
Factors to consider in bridging the digital gap
SGATAR
Study Group on Asia-Pacific Tax Administration and Research
SGATAR
Study Group on Asia-Pacific Tax Administration and Research
Factors to consider in bridging the digital gap
Digital transformation of tax administration has been widely discussed by international organizations.
The rapid advancement in technologies such as AI and big data presents unprecedented opportunities for enhancing efficiency, transparency, and taxpayer services. However, these advancements also introduce new challenges that require careful consideration and strategic planning, acknowledging the swift adaptations made by the private sector and the necessity for tax administrations to actively respond to meet taxpayers’ heightened expectations by transforming taxpayer services.
The rapid digital transformation presents new policy challenges, alongside varying degrees of implementation and technological disparities across jurisdictions. This diversity in the stages of digital infrastructure, methods of leveraging AI and addressing related challenges necessitates a platform for international dialogue.
As tax administrations increasingly rely on digital technologies, ensuring the security of these systems becomes a crucial concern. The risks associated with cyber-attacks, data breaches, and the stability of digital infrastructure pose significant threats to the integrity of tax administration. Addressing these security challenges through development, operation, and maintenance measures is essential for building trust and reliability in digital tax system. We aim to establish robust frameworks for data protection and management, ultimately safeguarding taxpayer information and enhancing the overall security of digital tax administration.