In 2025, the IRS significantly expanded its use of artificial intelligence (AI), shifting from pilot projects to operational tools in audits, compliance, and taxpayer services.
This evolution was driven by the need to close the $688 billion tax gap, improve efficiency, and respond to government‑wide directives on AI governance.
As we reach the end of 2025, the IRS’s growing reliance on artificial intelligence is becoming more apparent.
What began as cautious experimentation has evolved into a more structured, operational use of AI across several areas.















