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When your AI tax advisor says ‘I don’t know’

Nicola Mawson
By Nicola Mawson, Contributing journalist
Johannesburg, 23 Jun 2026
Daniel Swiegers, director of TaxTim. (Source: Supplied)
Daniel Swiegers, director of TaxTim. (Source: Supplied)

TaxTim’s new tax assistant, TimAI, is programmed to say “I don’t know” rather than fabricate an answer when it’s outside what it can reliably handle.

The WhatsApp-based tax assistant offers instant tax answers free to anyone in the country. TimAI, which is already available, will also see an in-platform version launch when the 2026 tax filing season opens on 13 July.

For the 2026 season, TimAI will help users by answering and explaining any tax-related questions. It can explain rules, do calculations and flag issues, but it cannot file a return, make a payment, or communicate with the South African Revenue (SARS). Its scope is limited to tax, not a general assistant.

“What’s changed is that AI has finally made conversational interfaces genuinely useful rather than the frustrating chatbots people came to dread. For South Africans, filing taxes is one of the most stressful things they do all year,” says Daniel Swiegers, director of TaxTim.

Swiegers adds that WhatsApp has become the default way South Africans deal with business: the banks are there, SARS is heading there, and customers increasingly expect it.

However, a Journal of Empirical Legal Studies paper stated in March last year that the large language models used in AI tools, which have witnessed a “sharp rise” in recent years, “are prone to ‘hallucinate,’ or make up false information, making their use risky in high stakes domains”. These tools are designed to assist with a range of core tasks, from search and summarisation, to document drafting.

Swiegers explains that TimAI is not immune to producing an incorrect or incomplete answer. However, it has “sought to manage this risk by restricting training to authoritative South African tax sources rather than the open internet,” he says.

TimAI is built to say “I don’t know” rather than fabricate an answer when it’s outside what it can reliably handle, Swiegers says. “Its scope is limited to tax. And we monitor outputs and refine the model on an ongoing basis.”

The free-to-use solution is built on South African source material, including the Income Tax Act and related legislation, official SARS documents and guides, more than a decade of TaxTim’s own tax content and calculators, and the company’s internal knowledge base built up by registered tax practitioners over 15 years, says Swiegers.

Not flying blind

TimAI is also governed by “explicit guardrails,” says Swiegers. “Behind the scenes, we continuously monitor outputs, review accuracy and maintain a structured feedback loop. Our head of tax and the wider tax team test TimAI against real scenarios on an ongoing basis.”

Non-profit education institution The Tax Faculty says: “The professional remains accountable for all work performed, regardless of AI assistance. AI should be treated as a tool for structure and language, while the practitioner provides the verified expertise and contextual judgement.”

ITWeb had a brief chat with TimAI. (Graphic redesigned by GenAI)
ITWeb had a brief chat with TimAI. (Graphic redesigned by GenAI)

For anything with a material tax impact, TaxTim is upfront that users should confirm with one of its registered tax practitioners before acting. “That’s also why our human team isn’t going anywhere,” says Swiegers.

When a user has filed with TaxTim before, TimAI has context from their actual filing history, making the answers materially more accurate than generic guidance, explains Swiegers.

Ringfenced

“We process information only on lawful grounds, where necessary to provide the service that the user has requested, to meet our legal obligations under tax legislation, or with the user’s consent.”

Swiegers adds that the company may process information from a user’s TaxTim profile, current return, prior returns and their conversation with TimAI to answer tax questions. “On WhatsApp, TimAI works on the question the user sends, and we ask users not to enter information that isn’t relevant to their tax question.”

TaxTim does not use identifiable tax return information or identifiable TimAI conversations to train third-party AI foundation models unless a user has expressly agreed to that, Swiegers points out.

“It is important to note that TimAI provides education, guidance and explanations, not tax advice in the regulated sense, and users should exercise their own discretion when evaluating the outputs and acting on information. Where someone needs formal advice, our team of registered tax practitioners is the right channel,” says Swiegers.

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