We study optimal income taxation in a two-group framework where the private cost of misreporting is positively correlated with productivity. If high-wage types always reveal their truthfully, letting low-wage cheat leads to Pareto-superior outcomes regardless audit costs (as compared deterrence). With no cheating, redistribution takes place on first- or second-best frontiers and end up worse of...

Tax Evasion is an action taken by taxpayers in reducing the obligation to pay taxes illegally. Cases of tax evasion are still common Indonesia recent years. This study aims determine how influence justice, love money, and religiosity on ethical perception evasion. As well as testing role gender moderation relationship between independent variables dependent variable. Data collection this was ca...

We develop a moral hazard model with auditing where both the principal and the agent can in‡uence the probability that the true state of nature is veri…ed. This setting is widely applicable for situations where fraudulent reporting with costly state veri…cation takes place. However, we use the framework to investigate tax evasion. We model tax evasion as a concealment-detection contest between ...

Tax evasion is an element in the Colombian government that jeopardizes tax collection of National and Customs administrations, for correct execution Nation's public budget, social programs population spending public, however, situation arises because taxpayers somehow have notion Government does not adequately manage resources due to a administration immersed corruption scandals. The must compl...