Nuremberg, September 25, 2025 – Today’s signing of a contract between the Technical University of Nuremberg (UTN) and the Bavarian State Office for Taxation marks the start of the collaboration. The aim is to make artificial intelligence (AI) even more useful for tax administration, thereby making processes more efficient for taxpayers. Close cooperation between the university and the administration will allow practical research results to flow directly into applications that contribute to solving current tax challenges – a decisive advantage in a rapidly developing field of technology.
Next steps in the project
The collaboration will begin in fall 2025. In the first year, up to six research assistants will be hired to conduct research primarily on the application of large language models in taxation. The team will be supplemented by additional staff from UTN. Prof. Dr. Josif Grabocka, holder of the Chair of Machine Learning at UTN, will lead the project. “This will create an innovative research and development space. Here, UTN researchers and experts from the Bavarian State Tax Office will work hand in hand to make AI solutions usable for tax administration in practice,” says Prof. Dr. Grabocka. The main location for the collaboration will be the UTN’s interim building on Ulmenstr.
Concrete benefits for taxpayers and tax authorities
The focus is on areas of application that are expected to bring direct benefits for both sides – taxpayers and tax authorities – including the use of large language models that can answer tax-related questions from employees in tax offices and have numerical and legal reasoning skills. Automated identification should also be able to detect parts of tax returns that require review.
The aim is to speed up administrative processes, reduce costs, and improve the quality of tax decisions. This will not only make tax administration more efficient, but also improve the service provided to citizens.
Strong cooperation between government and science
“We combine cutting-edge research with concrete fields of application! In this way, we harness the potential of AI for the benefit of all, make people’s work easier, and create added value for our citizens. This cooperation secures and sustainably expands internal expertise. In addition, the specialist skills of university staff are specifically integrated into concrete administrative projects in order to implement innovation in a practical manner and further advance the digital transformation,” says Finance and Home Affairs Minister Albert Füracker.
“This collaboration is a prime example of the close integration of public administration and science, and thus a driver of innovation for the Bavarian tax administration. It is a clear signal of how meaningful
cooperation between the state and universities can be,” says Andreas Koch, Vice President of the
Bavarian State Office for Taxes and Head of its IT department.
UTN and the Bavarian Ministry of Finance had already signed a memorandum of understanding last year to carry out joint AI projects for the automation of work processes in tax administration. As a result, UTN and the Bavarian State Office for Taxes have now started their collaboration. The first two projects deal with the identification of tax returns worthy of review in KONSENS application development and the targeted and sustainable use of large language models in tax administration in the BAItaxlab (Bavarian AI taxation laboratory at the Bavarian State Office for Taxes).
Press photos for download:
Press photo of contract signing (Copyright: André De Geare)
About the University of Technology Nuremberg
The University of Technology Nuremberg (UTN), founded in 2021, is the first newly established public university in Bavaria since 1978. The UTN is a living laboratory building a university for the age of AI and the rapidly advancing changes in technology, business and society. The UTN strives to become a strong regional force in research, teaching and transfer and an internationally leading university of the 21st century with regional roots and a global outlook.
The 37-hectare, sustainable UTN campus will form the center of the new Lichtenreuth district in Nuremberg, close to the historic city center. Around 6,000 students, 200 professors and at least 2,000 employees will study and work there. Study programs will integrate aspects of technology, liberal arts, social sciences and natural sciences to ideally prepare students for the interdisciplinary requirements of the new world of work.
Contact
Head of UnitCommunication Unit
Deputy Head of UnitCommunication Unit
Nuremberg, September 25, 2025 – Today’s signing of a contract between the Technical University of Nuremberg (UTN) and the Bavarian State Office for Taxation marks the start of the collaboration. The aim is to make artificial intelligence (AI) even more useful for tax administration, thereby making processes more efficient for taxpayers. Close cooperation between the university and the administration will allow practical research results to flow directly into applications that contribute to solving current tax challenges – a decisive advantage in a rapidly developing field of technology.
Next steps in the project
The collaboration will begin in fall 2025. In the first year, up to six research assistants will be hired to conduct research primarily on the application of large language models in taxation. The team will be supplemented by additional staff from UTN. Prof. Dr. Josif Grabocka, holder of the Chair of Machine Learning at UTN, will lead the project. “This will create an innovative research and development space. Here, UTN researchers and experts from the Bavarian State Tax Office will work hand in hand to make AI solutions usable for tax administration in practice,” says Prof. Dr. Grabocka. The main location for the collaboration will be the UTN’s interim building on Ulmenstr.
Concrete benefits for taxpayers and tax authorities
The focus is on areas of application that are expected to bring direct benefits for both sides – taxpayers and tax authorities – including the use of large language models that can answer tax-related questions from employees in tax offices and have numerical and legal reasoning skills. Automated identification should also be able to detect parts of tax returns that require review.
The aim is to speed up administrative processes, reduce costs, and improve the quality of tax decisions. This will not only make tax administration more efficient, but also improve the service provided to citizens.
Strong cooperation between government and science
“We combine cutting-edge research with concrete fields of application! In this way, we harness the potential of AI for the benefit of all, make people’s work easier, and create added value for our citizens. This cooperation secures and sustainably expands internal expertise. In addition, the specialist skills of university staff are specifically integrated into concrete administrative projects in order to implement innovation in a practical manner and further advance the digital transformation,” says Finance and Home Affairs Minister Albert Füracker.
“This collaboration is a prime example of the close integration of public administration and science, and thus a driver of innovation for the Bavarian tax administration. It is a clear signal of how meaningful
cooperation between the state and universities can be,” says Andreas Koch, Vice President of the
Bavarian State Office for Taxes and Head of its IT department.
UTN and the Bavarian Ministry of Finance had already signed a memorandum of understanding last year to carry out joint AI projects for the automation of work processes in tax administration. As a result, UTN and the Bavarian State Office for Taxes have now started their collaboration. The first two projects deal with the identification of tax returns worthy of review in KONSENS application development and the targeted and sustainable use of large language models in tax administration in the BAItaxlab (Bavarian AI taxation laboratory at the Bavarian State Office for Taxes).
Press photos for download:
Press photo of contract signing (Copyright: André De Geare)
About the University of Technology Nuremberg
The University of Technology Nuremberg (UTN), founded in 2021, is the first newly established public university in Bavaria since 1978. The UTN is a living laboratory building a university for the age of AI and the rapidly advancing changes in technology, business and society. The UTN strives to become a strong regional force in research, teaching and transfer and an internationally leading university of the 21st century with regional roots and a global outlook.
The 37-hectare, sustainable UTN campus will form the center of the new Lichtenreuth district in Nuremberg, close to the historic city center. Around 6,000 students, 200 professors and at least 2,000 employees will study and work there. Study programs will integrate aspects of technology, liberal arts, social sciences and natural sciences to ideally prepare students for the interdisciplinary requirements of the new world of work.
Contact
Peter Diehl
Communication Unit
Agnes Pelzl
Communication Unit