Should you rely on AI to do your taxes? Experts warn of risks.

About one in four Americans are turning to AI chatbots to prepare their tax returns, despite warnings from tax experts that the tools frequently provide outdated or inaccurate guidance. The reliance on AI for tax preparation creates financial risk for filers who may receive incorrect deductions, miss credits, or face penalties if returns contain errors stemming from flawed AI recommendations. Tax preparation requires understanding complex, frequently changing regulations—areas where AI systems often lag behind current law or misapply rules to individual circumstances. The surge in AI-assisted tax filing highlights a broader tension between consumers seeking convenience and the limitations of automated tools in handling nuanced financial decisions where mistakes carry direct monetary consequences.