From Rules to Predictions: Federated Tabular Learning with LLM Reasoning

Afsaneh Mahanipour, Hana Khamfroush


Abstract
Tabular data is widely used in important areas such as healthcare and finance, but building accurate models in real-world settings faces three main challenges: protecting data privacy, handling distributed data, and maintaining strong performance. Existing methods do not solve these issues together. Converting tabular data into text for Large Language Models (LLMs) can expose sensitive information, struggle with anonymized features and exact numerical values, and require expensive training while often not outperforming traditional tree-based models. In addition, many real-world datasets are spread across different institutions, making centralized training impossible. We propose a federated framework that connects distributed tabular data with LLM reasoning using decision tree rules as privacy-preserving intermediaries. Each client trains a local Random Forest and shares only extracted rules?feature comparisons and thresholds, without revealing raw data. These rules are combined into a global pool, allowing an LLM to generate a better partitioning rule without accessing any original data, adding an extra layer of privacy. Using this rule, each client learns local gradient-based corrections, which are then aggregated. We also show that this process reduces prediction error. Experiments on 12 datasets, including seven medical tasks, show that our method consistently outperforms federated baselines and achieves results close to centralized models.
Anthology ID:
2026.bionlp-1.78
Volume:
BioNLP 2026
Month:
July
Year:
2026
Address:
San Diego, California
Editors:
Dina Demner-Fushman, Sophia Ananiadou, Kirk Roberts, Junichi Tsujii
Venues:
BioNLP | WS
SIG:
Publisher:
Association for Computational Linguistics
Note:
Pages:
970–980
Language:
URL:
https://preview.aclanthology.org/ingest-acl-workshops/2026.bionlp-1.78/
DOI:
Bibkey:
Cite (ACL):
Afsaneh Mahanipour and Hana Khamfroush. 2026. From Rules to Predictions: Federated Tabular Learning with LLM Reasoning. In BioNLP 2026, pages 970–980, San Diego, California. Association for Computational Linguistics.
Cite (Informal):
From Rules to Predictions: Federated Tabular Learning with LLM Reasoning (Mahanipour & Khamfroush, BioNLP 2026)
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PDF:
https://preview.aclanthology.org/ingest-acl-workshops/2026.bionlp-1.78.pdf