AI incident #101 ·
Dutch Families Wrongfully Accused of Tax Fraud Due to Discriminatory Algorithm
What happened
A childcare benefits system in the Netherlands falsely accused thousands of families of fraud, in part due to an algorithm that treated having a second nationality as a risk factor.
Only the incident metadata is stored here. The underlying news reports are on the AI Incident Database (CC BY-SA 4.0); use the links above to read them.
News reports (6)
Coverage catalogued by the AI Incident Database. Titles link to the original publisher; the text is not reproduced here.
Who was involved
- Alleged deployer
- Dutch Tax Authority
- Alleged developer
- Unknown
- Alleged harmed party
- Dutch Tax Authority, Dutch Families
Classification (MIT AI Risk Repository taxonomy)
- Risk domain
- Discrimination and Toxicity
- Risk subdomain
- 1.1 Unfair discrimination and misrepresentation
- Causal entity
- AI
- Intent
- Unintentional
- Timing
- Post-deployment
- Harm level
- AI tangible harm event
- Sectors
- public administration
- Countries
- NL
Risk entries describing this failure mode
Entries from the MIT AI Risk Repository coded to subdomain 1.1.
- Discrimination
"Discrimination - Unfair or inadequate treatment or arbitrary distinction based on a person’s race, ethnicity, age, gender, sexual preference, religion, national origin, marital status, disability, language, or other pro...
- Harms of Representation and Other Biases
"A pretrained LLM generally has many of the stereotypical biases commonly present in the human society (Touvron et al., 2023). This makes it difficult for users to trust that LLMs will work well for them and not produce...
- Risks from bias and underrepresentation
"The outputs and impacts of general- purpose AI systems can be biased with respect to various aspects of human identity, including race, gender, culture, age, and disability. This creates risks in high- stakes domains su...
- Bias
"General-purpose AI systems can amplify social and political biases, causing concrete harm. They frequently display biases with respect to race, gender, culture, age, disability, political opinion, or other aspects of hu...
- Bias
"The training datasets of LLMs may contain biased information that leads LLMs to generate outputs with social biases"
- Toxicity and Bias Tendencies
"Extensive data collection in LLMs brings toxic content and stereotypical bias into the training data."
- Biased Training Data
"Compared with the definition of toxicity, the definition of bias is more subjective and contextdependent. Based on previous work [97], [101], we describe the bias as disparities that could raise demographic differences...
- Broken systems
"These are the most mentioned cases. They refer to situations where the algorithm or the training data lead to unreliable outputs. These systems frequently assign disproportionate weight to some variables, like race or g...
Incidents in the same risk subdomain
- DOGE Reportedly Relied on Unvetted ChatGPT Outputs in Canceling National Endowment for the Humanities Grants
- Sora Video Generator Has Reportedly Been Creating Biased Human Representations Across Race, Gender, and Disability
- Meta AI Characters Allegedly Exhibited Racism, Fabricated Identities, and Exploited User Trust
- Alleged AI-Generated Photo Alteration Leads to Inappropriate Modifications in Speaker's Conference Picture
- Algorithmic Bias in French Welfare System Allegedly Discriminates Against Marginalized Groups
- Department for Work and Pensions (DWP) AI Systems Allegedly Discriminate Against Single Mothers