THE ROLE OF ARTIFICIAL INTELLIGENCE IN IMPROVING TAX ADMINISTRATION IN THE DIGITAL ECONOMY

Abstract. The rapid development of the digital economy has significantly transformed public administration, including taxation systems. Artificial Intelligence (AI) has become one of the most innovative technologies for improving tax administration by increasing efficiency, transparency, and accuracy in tax collection and compliance. This article examines the role of AI in modern tax administration, focusing on its contribution to digital tax services, risk assessment, fraud detection, and taxpayer compliance. It also analyzes the experience of different countries in implementing AI-based tax administration systems and evaluates recent digital tax reforms in the Republic of Uzbekistan. Furthermore, the study identifies existing challenges, including cybersecurity, data protection, and technological infrastructure, and proposes recommendations for strengthening AI applications in tax administration. The findings indicate that integrating AI into tax systems enhances fiscal efficiency, reduces tax evasion, and supports sustainable economic development in the digital era.