H&R Block Utilizes OpenAI to Enhance Its Efficiency
H&R Block and OpenAI Partner for AI in Tax Preparation
Overview of the Collaboration
On April 15, 2025, news broke about a partnership between H&R Block and OpenAI, aimed at creating a generative artificial intelligence (GenAI) solution. This initiative is designed to assist H&R Block’s extensive network of over 60,000 tax professionals, enabling them to provide clients with quicker and more personalized insights. H&R Block services millions of clients each year through nearly 9,000 U.S. locations, making this innovation crucial for enhancing customer experience.
Role of The Tax Institute
The Tax Institute (TTI) of H&R Block is crucial to this partnership. This institution consists of tax attorneys, certified public accountants (CPAs), and enrolled agents. TTI continuously tracks changes in federal, state, and local tax regulations. This ensures that H&R Block’s tax professionals are well-equipped to handle complex tax situations for over 20 million clients. In addition to providing extensive resources for tax professionals, TTI also offers a research service for more intricate client queries. The integration of GenAI aims to enhance TTI’s capability to provide tailored, accurate responses to tax-related questions, utilizing curated content from their team of experts.
Enhanced Client Support
Ronnie Chatterji, Chief Economist at OpenAI, stated, "Millions of hardworking taxpayers trust H&R Block to ensure the best possible outcome at tax time." By combining OpenAI’s cutting-edge AI technology with the comprehensive tax knowledge from The Tax Institute, tax experts at H&R Block will be better positioned to offer nuanced guidance. This collaboration is expected to streamline tax preparation processes and improve the overall experience for clients.
Phased Rollout of the AI Solution
The initial implementation of this GenAI technology is set to begin later this year, with broader deployment planned for the 2026 Tax Season. As part of this collaboration, H&R Block and OpenAI will also research the real-world implications of AI in professional tax preparation. This study will help H&R Block to create scalable solutions that address various AI applications relevant to their services.
Addressing Tax Complexity
According to Scott Manuel, Chief Strategy and Operations Officer at H&R Block, tax preparation has grown increasingly complex due to evolving tax laws and individual life changes. He emphasized that previous success with AI Tax Assist has built confidence among DIY clients in tax filing. The expectation is that the collaborative efforts with OpenAI will similarly empower tax professionals to provide timely and tailored support.
AI Tax Assist
This partnership builds on H&R Block’s AI Tax Assist, a GenAI solution that was launched ahead of the 2024 tax season. AI Tax Assist integrates years of trusted tax knowledge with the efficiency of AI technology, allowing clients using H&R Block’s DIY products to receive reliable filing assistance in real-time.
About H&R Block
H&R Block, Inc. (NYSE: HRB) offers a range of services encompassing tax preparation, financial products, and small business solutions. The company blends digital innovation with human expertise, aspiring to help clients navigate tax complexities while also improving their financial literacy through its mobile banking app, Spruce. Through initiatives like Block Advisors and Wave, H&R Block supports small business owners with comprehensive accounting, payroll, advisory, and payment processing solutions.
For more information and updates, you can check H&R Block’s official website and their newsroom.
