Australian businesses losing money to ChatGPT-style tax and financial advice, accountants warn

SYDNEY, 18th June 2026: Australian businesses are losing money after relying on general-purpose AI tools such as ChatGPT or Claude for financial, bookkeeping and tax advice, with accountants and bookkeepers warning the risks could escalate into business failures this financial year.

That is according to new research of 500 accountants and bookkeepers across Australia by Dext, which found that 63% are aware of businesses that have suffered direct financial losses - including overpayments, missed allowances, penalties, fines or compliance issues - as a result of incorrect or misleading AI-generated advice.

The findings suggest public AI adoption is accelerating across Australia, but that misuse of these tools for complex financial decisions is creating a growing and costly risk, one accountants and bookkeepers fear will intensify as more firms treat AI outputs as reliable guidance.

"The damage is no longer hypothetical," said Paul Wittich, General Manager APAC, Dext. "Across the country, businesses are already losing money, and accountants and bookkeepers are spending valuable time correcting avoidable mistakes, from tax and payroll errors to misinterpretation of expenses.

"AI has a powerful role to play in finance but there's a fundamental difference between specialist tools built for accounting and bookkeeping, and general-purpose chatbots that don't know a business's true financial context."

AI reliance surges as clients challenge professional advice

Throughout 2025, 75% of accountants and bookkeepers say they have seen an increase in clients using public AI tools, such as ChatGPT or other large language models, to seek financial, tax or bookkeeping advice.

However, this growing reliance is being accompanied by a sharp rise in errors, with consequences already showing up in client finances.

'AI slop' in the books

According to the research, accountants and bookkeepers are now encountering client mistakes on a regular basis due to incorrect or misleading public AI-generated financial or tax advice.

●      17% report encountering client mistakes on a daily basis

●      44% say they are seeing client mistakes every week

●      Just 2% say they have never encountered public AI-driven mistakes.

The most common errors reported include incorrect interpretation of business expenses (45%), incorrect tax claims or charges (43%), flawed personal tax planning (39%), incorrect business tax planning (38%), and payroll errors (29%).

The hidden cost: hours wasted fixing AI mistakes

Beyond direct financial losses, the research highlights a growing productivity drain on the accounting and bookkeeping professions, and unnecessary hours billed to businesses.

Among those encountering public AI-related mistakes, 52% spend up to three hours per month correcting errors caused by AI-generated advice, 38% spend between four to six hours, and 8% spend 7-10 hours fixing errors.

2026 warning: insolvency risk, fraud, penalties and ATO scrutiny

Looking ahead, accountants and bookkeepers expect the risks to intensify if Australians continue relying on public AI tools without professional oversight.

A quarter (28%) warn of a higher risk of insolvency or business failure, while others expect increased misuse of AI outputs to justify inappropriate or fraudulent claims (41%), rising fines and penalties (38%), and greater ATO scrutiny due to incorrect or late filings (34%). Two fifths (41%) believe businesses making decisions based on false confidence from incorrect AI outputs will become more common.

Calls for regulatory clamp down

With concerns mounting, accountants and bookkeepers are calling for urgent intervention. The vast majority (92%) believe regulation and restriction is needed- nearly half (48%) believe public AI tools should be restricted when providing financial or tax-related advice, and 69% are specifically calling for formal regulation.

Wittich added: "If we head into this financial year with more businesses treating general purpose AI outputs as trusted tax and financial advice, without professional oversight, the consequences could be severe. The focus now should be on responsible guardrails, clearer restrictions around financial advice, and better education for businesses on what these tools can and cannot safely be used for."

ENDS

NOTES TO EDITORS

Media contacts

●      Dan Stewart, Brightus

○      dan@brightus.com.au

●      Sofia Cabrera, Head of PR & Communications, Dext

○      sofia-louise.cabrera@dext.com

About the data

The quantitative research was commissioned by Dext and conducted by Censuswide. It surveyed 500 Australian accountants and bookkeepers working across a range of firm sizes, regions and industries. Fieldwork took place over the first two weeks of May 2026.

About Dext

Dext, part of the IRIS Software Group, is the leading provider of AI-powered bookkeeping automation. Founded in 2010, the company empowers businesses, accountants, and bookkeepers to thrive through cutting-edge artificial intelligence and machine learning technology that simplifies accounting processes and enables smarter, more timely financial decisions.

Trusted by thousands of professionals worldwide, Dext integrates with major accounting software and connects to over 11,500 banks, suppliers, and marketplaces.

In 2024, Dext joined IRIS Software Group and continues to work directly with its clients to create a more seamless, end-to-end accountancy workflow. For more information, visit www.dext.com.