CRA Chatbot Accuracy Sparks New Concerns After $18 Million Spend

The Canada Revenue Agency is under pressure after new findings on its “Charlie” chatbot. The tool gave many wrong answers, according to the Auditor General. The review was released in late 2024. It examined how the chatbot worked and how much it cost. The issue matters now as tax season approaches.

The CRA built the chatbot to help people find tax information fast. But the audit showed major problems. Lawmakers raised questions about the $18 million spent on the tool since 2018. According to Reuters and the National Post, the chatbot often failed to give clear or correct guidance. The agency said it has upgraded the system, but full results are pending.

CRA Chatbot Accuracy Review Raises Tough Questions

The main concern is accuracy. The Auditor General found the chatbot answered only two of six test questions correctly. That is a 33 percent rate. Other public AI tools answered five of six correctly. This gap led to strong criticism.

The CRA said a new generative AI upgrade launched in November 2024. The agency claimed early tests showed close to 90 percent accuracy. But the CRA also said a full review of all chats was still not done. This means the real accuracy is not yet confirmed. According to AP News, lawmakers want proof before the next tax rush begins.

The chatbot has seen heavy use. It has handled more than seven million chats since launch. It answered over 18 million questions. People asked about personal taxes, business rules, benefits, and ID updates. Some chats were casual talk, showing wide user behavior. But accuracy is still the key measure.

Impact on Taxpayers and CRA Call Centers

The CRA is also hiring 1,700 call center staff for the 2025 tax season. The goal is to handle more calls and reduce wait times. Call volume can reach 300,000 a day during peak season. Last year, only 3,300 staff handled calls. This year, the CRA aims for almost 4,500 workers.

According to CBC and CTV News, call centers reached a 70 percent response rate after a 100‑day improvement plan. At peak times, they even hit 92 percent. But past audits found accuracy issues in live answers too. One report found only 17 percent accuracy for personal tax answers. The CRA rejected that number and said internal checks showed 92 percent accuracy. The conflict has added more public concern.

The government is also cutting spending across many departments. Some agencies face layoffs. The CRA said it does not expect cuts now. But pressure to show value remains strong. The CRA must prove that both the chatbot and call centers can deliver reliable service.

Chatbot Improvements and What Comes Next

The CRA said it will plan new upgrades over the next three to five years. The focus will be better accuracy and better user service. The agency said both digital tools and human teams must improve. Taxpayers need fast and correct answers. Errors can cause late filings or missed benefits.

The chatbot accuracy issue highlights a wider problem. Government tech often costs more and takes longer to fix. Private companies adopt AI faster. Public agencies face more rules and more oversight. This slows progress. But trust is key when tax rules are involved.

The CRA chatbot accuracy debate will continue as tax season nears. Many Canadians want clear answers and reliable support. The CRA says the upgraded system will improve, but full results are still awaited. Until then, the chatbot accuracy issue will stay in the spotlight.

FYI (keeping you in the loop)-

Q1: Why is the CRA chatbot accuracy a concern?

It matters because wrong answers can mislead taxpayers. It can cause filing mistakes. It also raises questions about public spending.

Q2: How much did the CRA spend on the chatbot?

The CRA spent about $18 million since 2018. Most of it went to staff and IT development. The cost triggered public scrutiny.

Q3: Did the CRA improve the chatbot?

Yes. A generative AI update was added in November 2024. Early tests showed higher accuracy. Full results are not finished yet.

Q4: How many people use the chatbot?

It has handled more than seven million chats. It answered over 18 million questions. Use rises during tax season.

Q5: Why is the CRA hiring more call center staff?

Calls surge during tax time. The CRA wants shorter waits and better service. The agency expects heavy demand in 2025.