Tax-Equivalent Location Generation for Privacy Protection
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Solution Overview
Problem
Existing systems lack an effective method to protect location privacy by generating an alternate location that is tax-equivalent to a given location, ensuring privacy while maintaining accuracy in tax determinations across multiple jurisdictions.
Innovation Solution
A computer system generates a second location data that is tax-equivalent to a first location by identifying domains and selecting a location that belongs in the same tax jurisdictions as the first location but does not overlap with it, using a second location generator and converters to handle different coordinate systems.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Loss of information
If the original location data is used directly, then tax determination accuracy is maintained, but location privacy is compromised
Solution Approach 1:
The patent creates a copy of the original location data that preserves the essential tax-determining characteristics (jurisdictional domain membership) while replacing the precise geographic coordinates with an alternate location. This copy serves the same tax determination function without exposing the actual location, thereby protecting privacy while maintaining accuracy.
Solution Approach 2:
The patent introduces an intermediary process that transforms the original location into an alternate location through domain-based mapping. This intermediary mechanism ensures that the transformed location retains the necessary tax jurisdictional information while removing the direct geographic reference, acting as a bridge between privacy protection and tax accuracy requirements.
2Loss of information
If location data is transformed to protect privacy, then privacy is improved, but the complexity of the system increases
Solution Approach 1:
The patent pre-establishes domain definitions and boundary data structures that categorize geographic regions into tax jurisdictions. This preliminary organization of spatial information into manageable domains simplifies the transformation process, as the system only needs to determine which pre-defined domain contains the original location and select an alternate location within the same domain, rather than performing complex real-time calculations.
3Reliability
If an alternate location is generated within the same tax jurisdiction, then tax equivalence is maintained, but the risk of location reconstruction increases
Solution Approach 1:
The patent applies different quality requirements to different aspects of the location data. The alternate location must share the same tax jurisdictional domain (local quality for tax equivalence) but deliberately differs in precise geographic coordinates (local quality for privacy protection). This differentiated quality approach ensures tax equivalence while minimizing reconstruction risk by making the alternate location genuinely different from the original.
Data Source
AI summary
In embodiments, given a surface that has domains on it and a first location, a second location is generated in the surface. The second location belongs in the same domains as the first location, and does not belong in the same domains as the second location. An advantage can be that, in embodiments, the second location can be used in lieu of the first location. A use case can be where it is desired to protect the privacy of location data of an entity, such as its address.