IRS hopes to replace fired enforcement workers with AI

HELLFIRE

Usual preface, sharing solely and strictly from a security and privacy POV to the exclusion of everything else : https://www.theregister.com/2025/05/08/the_irs_plans_to_replace/

Following considerable cuts to its enforcement workforce, the US’s Internal Revenue Service (IRS) plans to use AI to supplement its ability to collect taxes from US citizens. … “IRS already uses AI for business functions including operational efficiency, compliance and fraud detection, and taxpayer services,” the agency told us. “AI use cases must follow all relevant IRS privacy and security policies.” …

Two immediate and valid security / privacy questions I see offhand are :

who are the AI company / ies in question?
what are the relevant privacy / security policies in question?

…and irony of ironies, the closing point about AI investments not paying off is whipped cream and cherries on top of the s**t sandwich this is…

My Sarcastic / Cynical 00000010bits

Regards

Somewhat-Reticent

HELLFIRE Sounds like they’re ready to start using their Nvidia Superpods.
“supplement” sounds better than “replaced”. ( Should “fired” be “downsized” ? )

egeezer

HELLFIRE who are the AI company / ies in question?

what are the relevant privacy / security policies in question?

3 What criteria will be set in AI learning to determine who should be audited?
Based on your other topic, AI presents significant opportunities for tweaking the models for targeting certain people and groups for inclusion - or exclusion.
https://broadbandbulletin.com/d/2957-faangupdate-turns-google-gemini-into-prudebreaks-apps-for-trauma-vic

vaxvms

Somewhat-Reticent

( Should “fired” be “downsized” ? )

It was called “rightsizing” when I was told “Thank you for your service. Good luck with your future.” and walked out the door.

GrumpyCanadian

Another critical question is how far they will go with this. Once the “AI” evaluation system decides that someone has done something they shouldn’t have, and owes the IRS a boatload of money, will a human be involved to check the work, or will the “AI” be empowered to initiate asset seizure and wage garnishment? Imagine being billed into insolvency due to a so-called hallucination! This smells like a series of monumental lawsuits waiting to happen, assuming the victims can still afford to go to court once the AI IRS finishes with them.

It may sound like I’m making light of the situation, but I think it’s ruinously serious. The “AI” hype train is being allowed to run away with reason and better judgment, to the detriment of all.

egeezer

GrumpyCanadian will a human be involved to check the work, or will the “AI” be empowered to initiate asset seizure and wage garnishment? Imagine being billed into insolvency due to a so-called hallucination!

There’s also the very real risk of deliberate skewing of results and rubber stamping decisions by those with an agenda. The UHC case is an example;
https://www.legalhie.com/judge-decides-class-action-lawsuit-can-proceed-against-unitedhealth-for-use-of-ai/

… This AI-driven approach allegedly overruled treating physicians, relied on rigid (and often inaccurate) predictions for patient recovery, and caused vulnerable beneficiaries to be discharged prematurely—sometimes with dire consequences. …

I’ve read about insurance administrators and doctors reviewing patient records and making “evaluations” and denials at a pace that would have been impossible if they had actually reviewed patient records. Unless safeguards, transparency and accountability are put in place, the systems will be rife with fraud and abuse.

Astyanax

HELLFIRE Two immediate and valid security / privacy questions I see offhand are :

who are the AI company / ies in question?

what are the relevant privacy / security policies in question?

Here’s #3:

“You owe x thousands of dollars in back taxes ‘because the computer said so’ ”.

No thanks!

vaxvms

How long before I get an email from ‘The IRS’ gmail account telling me their AI has detected I cheated on my taxes and that I need to send them $1254 in gift cards within the next 26.5 hours or I’ll be thrown in jail?