It’s that point of the 12 months once more and tax submitting is certainly a taxing course of! Are you fighting submitting your ITR? Or are you continue to relying in your private CA to deal with all of it? How about having a customized AI tax assistant at your fingertips? With highly effective AI fashions like OpenAI’s o3-mini on ChatGPT, and DeepSeek’s R1, tax submitting is now simpler and sooner than ever. However which AI mannequin does a greater job at dealing with deductions, understanding new tax legal guidelines, and optimizing your financial savings? On this weblog, we put o3-mini and DeepSeek-R1 to the take a look at with real-world tax eventualities – involving wage slips, lease receipts, and tough deductions – to see who’s the higher AI accountant.
New Tax Regime 2025-26
Within the Union Funds 2025, Finance Minister Nirmala Sitharaman has launched vital adjustments to the earnings tax slab below the brand new regime. These new slabs will likely be efficient from April 1,2025 for the monetary 12 months 2025-26. This funds’s tax construction is designed to majorly profit employed taxpayers, particularly within the center earnings class. Listed here are the foremost take aways from Funds 2025.
- Customary Deduction: The usual deduction for salaried people has been raised from ₹50,000 to ₹75,000, offering further tax reduction.
- Elevated Tax Exemption Restrict: People incomes as much as ₹12 lakh yearly are actually exempted from paying earnings tax. For salaried people, after accounting for the standard deduction of ₹75,000, this exemption successfully applies to incomes as much as ₹12.75 lakh.
- Revised Tax Revenue Slabs: Right here’s the desk for revised tax slabs, in keeping with the brand new regime.
| Annual Revenue (₹) | Tax Fee |
| 0 – 4 Lakh | Nil |
| 4 – 8 Lakh | 5% |
| 8 – 12 Lakh | 10% |
| 12 – 16 Lakh | 15% |
| 16 – 20 Lakh | 20% |
| 20 – 24 Lakh | 25% |
| Above 24 Lakh | 30% |
Are you feeling overwhelmed by all of those adjustments? Are you fearful about remembering all the small print and planning your taxes accurately? No worries! Why stress when you may have an AI tax assistant do it for you?
DeepSeek-R1 vs OpenAI o3-mini for Tax Submitting
You’ve most likely heard in regards to the Chinese language AI mannequin DeepSeek-R1 and its largest American competitor, OpenAI’s o3-mini. Though each these AI fashions are recognized to be distinctive at logical reasoning, arithmetic, and extra, can they really assist with tax calculations? Let’s put them to the take a look at!
We’ll use DeepSeek-R1 and o3-mini as AI tax assistants and discover two completely different eventualities to see how effectively they deal with monetary planning. However earlier than that, let’s see the right way to entry these fashions.
Methods to Entry o3-mini?
Step 1: Head to https://chatgpt.com/ and choose o3 mini from the highest left drop down of mannequin choices.
Step 2: Give the immediate.
Additionally Learn: Methods to Run OpenAI’s o3-mini on Google Colab?
Methods to Entry DeepSeek-R1?
Step 1: Go to https://www.deepseek.com/ and choose ‘Begin now’. Then sign up utilizing your Gmail account.
Step 2: Choose DeepSeek-R1 after which present the immediate.
Now let’s get to the tax submitting.
Situation 1: Which Mannequin Has Higher Understanding of the New Regime FY 2025-26?
Immediate: “Right here’s a hyperlink to the brand new tax regime proposed in Funds 2025: https://economictimes.indiatimes.com/wealth/income-tax-slabs?from=mdr.
Utilizing solely the knowledge in that article, what’s the customary deduction for the monetary 12 months 2025–26”
Response by o3-mini (excessive)
Response by DeepSeek-R1
Comparative Evaluation
You may clearly see that OpenAI ChatGPT o3-mini gave the improper reply, whereas DeepSeek-R1 bought it proper. Underneath the brand new tax regime, the usual deduction for a salaried worker is ₹75,000. This exhibits that DeepSeek-R1 may accumulate the related data from the article higher than ChatGPT o3-mini.
Additionally Learn: Can o3-mini Exchange DeepSeek-R1 for Logical Reasoning?
Situation 2: Which Mannequin Can Deal with the New Tax Regime Higher?
Let’s Take a Check Case: Priya Mehta
- Age: 29
- Wage: ₹13,00,000 each year
- Deductions & Bills:
- Dwelling Mortgage Curiosity: ₹1,20,000 per 12 months
- Medical Payments: ₹30,000 (eligible below 80D)
- Fairness Investments: ₹1,50,000 (eligible below 80C)
Priya is a salaried worker with a number of bills. She has proven her investments below 80C (Fairness Investments). 80D (medical bills), and 80E (schooling mortgage curiosity) whereas making certain compliance with new tax legal guidelines for 2025.
Let’s manually calculate Priya’s tax below the brand new tax regime.
On this regime, deductions below 80C and 80D will not be allowed. So, if we calculate the tax for her annual wage of ₹13 lakh, the overall tax payable will likely be as follows:
Gross earnings is = ₹13,00,000 – ₹75,000 = ₹12,25,000
| Annual Revenue (₹) | Tax Fee | Payable Tax |
| 0 – 4 Lakh | Nil | 0 |
| 4 – 8 Lakh | 5% | ₹20,000 |
| 8 – 12 Lakh | 10% | ₹40,000 |
| 12 – 12.25 Lakh | 15% | ₹3,750 |
| Complete Tax payable | ₹ 63,750 |
Add Well being Cess
4% of ₹ 63,750= ₹2,550
| Complete Tax = ₹ 63,750 + ₹2,550 = ₹ 66,300 |
Now that we’ve manually calculated Priya’s tax, let’s see if these AI fashions can do the identical precisely for this monetary 12 months and examine their efficiency.
Immediate: “Right here’s a hyperlink to the brand new tax regime proposed in Funds 2025: https://economictimes.indiatimes.com/wealth/income-tax-slabs?from=mdr.
Utilizing solely the knowledge in that article, compute Priya Mehta’s tax legal responsibility below the brand new tax regime proposed within the 2025 Funds. Under is an in depth breakdown of her wage and bills.
Title: Priya Mehta
1. Age: 29
2. Wage: ₹13,00,000 each year
3. Deductions & Bills:
Dwelling Mortgage Curiosity: ₹1,20,000 per 12 months
Medical Payments: ₹30,000 (eligible below 80D)
Fairness Investments: ₹1,50,000 (eligible below 80C)
Priya is a salaried worker with a number of bills. She has proven her investments below 80C (Fairness Investments). 80D (medical bills), and 80E (schooling mortgage curiosity) whereas making certain compliance with new tax legal guidelines for 2025.”
Response by o3-mini (excessive)
Response by DeepSeek-R1
Comparative Evaluation
ChatGPT, powered by o3-mini, utilized a regular deduction of ₹50,000 however didn’t enable deductions below 80C, 80D, or residence mortgage curiosity. This introduced Priya’s taxable earnings right down to ₹12,50,000 (₹13,00,000 – ₹50,000). Nevertheless, it used the outdated tax slabs, which led to an incorrect remaining tax legal responsibility of ₹1,30,000.
DeepSeek-R1 took extra time to research and perceive the tax regime however nonetheless made an error within the calculation. It missed deducting the usual ₹75,000 from Priya’s complete earnings. Then, as an alternative of making use of the brand new tax regime for 2025, it used the outdated 2023-24 guidelines, which led to an incorrect tax legal responsibility of ₹62,400.
Additionally Learn: This o3-mini Agent Can Predict Gold Costs!
Conclusion
Each ChatGPT with o3-mini, and DeepSeek-R1 present promise in AI tax submitting. Nevertheless, every struggled with sure particulars reminiscent of understanding the usual deductions and new tax slabs. Whereas these AI-powered tax options can streamline submitting and scale back guide effort, they’re not but excellent substitutes for professional oversight. As AI continues to evolve, these fashions will more than likely turn out to be extra correct in accounting and tax filling.
Ceaselessly Requested Questions
A. AI tax submitting makes use of superior language fashions like o3-mini on ChatGPT, and DeepSeek-R1, to assist people and companies put together, calculate, and submit tax returns with minimal guide effort.
A. AI can shortly course of massive units of economic knowledge, provide real-time updates on tax legal guidelines (just like the 2025–26 new tax regime), and automate repetitive duties. Nevertheless, professional overview should be advisable.
A. Key updates embody the next tax exemption restrict (as much as ₹12.75 lakh with customary deduction), revised slabs, and an elevated customary deduction of ₹75,000 for salaried people.
A. In idea, sure, however the weblog’s eventualities revealed that each AI fashions typically missed or misapplied these deductions below the brand new regime guidelines.
A. They’re helpful for guiding fundamental calculations and saving time. Nevertheless, they’ll nonetheless misunderstand nuanced or newly launched legal guidelines. Therefore, human oversight is beneficial.
A. AI can deal with fundamental calculations and tax queries, however it will possibly’t absolutely exchange a tax accountant’s nuanced judgment and customized experience – particularly in complicated or high-value conditions.
A. In keeping with this text, neither mannequin bought it fully proper. o3-mini used outdated deductions, whereas DeepSeek-R1 utilized outdated tax slabs, resulting in inaccuracies.
As an Tutorial Designer at Analytics Vidhya, Diksha has expertise creating dynamic academic content material on the newest applied sciences and traits in knowledge science. With a knack for crafting partaking, cutting-edge content material, Diksha empowers learners to navigate and excel within the evolving tech panorama, making certain academic excellence on this quickly advancing subject.
