Using Artificial Intelligence in Accounting: Transformations, Challenges, and Future Direction

Abstract

Artificial Intelligence (AI) has rapidly transformed the landscape of accounting by automating routine tasks, enhancing decision-making capabilities, and generating new insights from complex financial data. This paper examines the integration of AI in accounting, its benefits and challenges, and explores key research questions related to AI adoption and its organizational impacts. A comprehensive literature review discusses current applications of AI technologies such as machine learning, natural language processing, and robotic process automation. The study employs a qualitative methodology to explore accounting practitioners’ perspectives, highlighting both opportunities and barriers associated with AI implementation. Findings indicate that AI significantly improves accuracy, efficiency, and analytical capabilities while reducing operational costs. However, the results also reveal critical concerns related to data privacy, ethical accountability, regulatory compliance, and workforce skill gaps. Overall, the paper concludes that successful AI adoption in accounting requires strategic planning, ethical governance, and continuous professional development. The study contributes to the growing body of literature by offering practical insights for educators, practitioners, and policymakers. It also provides a foundation for future empirical research on the long-term implications of AI in the accounting profession.