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Israeli Tax Authority Reportedly Used an Opaque Automated System to Issue a Fine, Declining to Explain or Disclose the Underlying Calculation

An Israeli farmer, Moshe Har Shemesh, reportedly received a fine generated by a Tax Authority software system whose calculation officials were allegedly unable to explain. When the farmer reportedly sought access to the program or its source code to understand the basis for the amount, the authority allegedly refused, citing security concerns and the difficulty of extracting the embedded guidelines. The dispute reportedly later moved into legal proceedings focused on whether code and automated decision rules constitute information subject to public disclosure.

Date it happened
2021-01-11
Organisation involved
Israeli Tax Authority
Product, system or model
Israeli Tax Authority fine-calculation algorithm, Israeli Tax Authority administrative automation system, Closed-source tax decision software
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Attribution

This incident was imported from AI Incident Database and is used under CC BY-SA 4.0. Our additions to it — the structured fields, the translation, the checks against other reports — are published under the same licence.

This is a record of what was reported, not a finding that anyone broke the law. If it names your organisation and you believe it is wrong, the corrections process is free and open to everyone.