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Autori principali: Kadir, Md Abdul, Vasu, Sai Suresh Macharla, Nair, Sidharth S., Sonntag, Daniel
Natura: Preprint
Pubblicazione: 2025
Soggetti:
Accesso online:https://arxiv.org/abs/2512.02726
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Sommario:
  • Auditors rely on Journal Entry Tests (JETs) to detect anomalies in tax-related ledger records, but rule-based methods generate overwhelming false positives and struggle with subtle irregularities. We investigate whether large language models (LLMs) can serve as anomaly detectors in double-entry bookkeeping. Benchmarking SoTA LLMs such as LLaMA and Gemma on both synthetic and real-world anonymized ledgers, we compare them against JETs and machine learning baselines. Our results show that LLMs consistently outperform traditional rule-based JETs and classical ML baselines, while also providing natural-language explanations that enhance interpretability. These results highlight the potential of \textbf{AI-augmented auditing}, where human auditors collaborate with foundation models to strengthen financial integrity.