Four Tax Questions for ChatGPT and Other Language Models
Since ChatGPT was released to the public in late 2022, it and other language models have rapidly gained recognition for their ability to respond to queries with natural language text. This non-technical and unsponsored article tests the usefulness of three language models, ChatGPT, Bing Chat, and Google Bard, by asking each four tax-related questions:1. Can I engage in a section 1031 like-kind exchange if I sell my Picasso painting?2. Does a decedent recognize gain if she dies with assets that have debt in excess of tax basis?3. Why should the federal government tax stock buybacks?4. Can you tell me six original jokes about tax lawyers? [Example: Why did the tax lawyer become a comedian? To deduct the cost of the microphone as a business expense.]The current iterations of language models have some room for improvement before they are useful to tax professionals. It may take several more years before language models can supersede junior tax associates in performing tax research, even if they are cheaper and more responsive.In contrast, the language models can more easily handle open-ended questions with lower stakes and no definitive right or wrong answers such as providing recipes, travel suggestions, or tax policy commentary. Once the language models have implemented more advanced footnote technology, they may serve as a cost-effective supplement for legal academics.The article also discusses a significant mistake in OpenAI's March 14, 2023 livestream demonstration of GPT-4's tax analysis capabilities, which has received over 3.3 million views on YouTube. GPT-4 calculated that a married couple with $78,981 of adjusted gross income has $10,597.68 of federal income tax liability in 2018. Their correct 2018 tax liability should be $9,255, which is a reduction of $1,343
Year of publication: |
[2023]
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Authors: | Zhang, Libin |
Publisher: |
[S.l.] : SSRN |
Saved in:
freely available
Extent: | 1 Online-Ressource (9 p) |
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Type of publication: | Book / Working Paper |
Language: | English |
Notes: | In: 179 Tax Notes Federal 969 (2023) Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments May 8, 2023 erstellt |
Source: | ECONIS - Online Catalogue of the ZBW |
Persistent link: https://www.econbiz.de/10014356250
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