Revealing 21 per cent of GDP in hidden assets: Evidence from Argentina's tax amnesties

This paper studies the effectiveness of tax amnesties and their impacts on capital taxation public spending. We leverage rich policy variation from Argentina, where left- right-wing governments implemented multiple programmes achieved varying success. After numerous failed enforcement efforts, its 2016 scheme reportedly revealed assets worth 21 per cent GDP—the world’s most successful amnesty. use detailed data fiscal tabulations spanning two decades obtain three key results. First, despite substantial offshore evasion, declared foreign quadrupled after Second, disclosures were extensive among wealthiest 0.1 individuals, who more than doubled assets. Third, improving compliance has sizeable externalities taxes social transfers: wealth income bases doubled, amnesty’s earmarked revenue boosted pension benefits by 15 cent. conclude discussing lessons Argentina’s experience with amnesty programmes.