Although tax withholding is a central component of the US income tax system, there is a paucity of research that explores the relationship between tax withholding and subsequent tax reporting. Using a framed field experiment with working adults and deliberate framing, this study looks directly at this nexus. Briefly, we find interesting asymmetries related to tax position, in particular that ta...

corporations have a key role in economic development, growth of national security and financial competition. the key of power is in economy. so in the global village, the economic competition replaces military conflict. a new concept in criminal justice is corporate crime. these crimes as a kind of white collar crime are studied in light of critical criminology findings of this study shows that...

In this paper we analyze the effect of increasing labor (i.e. graduates’/academics’) and student mobility on net tax revenues when revenuemaximizing governments compete for human capital by means of income tax rates and amenities offered to students (positive expenditure) or rather tuition fees (negative expenditure). We demonstrate that these instruments are strategic complements and that incr...

This paper explores how government preferences affect the choices of capital tax rates in the presence of tax competition. We develop a model in which governments, differentiating in their preferences for economic development and regional equality, compete for mobile capital over corporation taxes. The key prediction of the model, borne out in data from OECD countries over the years 1990-2007, ...

An increase in the taxation of foreign affi liates reduces domestic investment, as has recently been empirically shown in Becker and Riedel (2012). This paper investigates the implication of this finding for tax competition. It is shown that an increase in the number of multinational firms (in contrast to purely national firms) may actually mitigate tax competition — counter to the popular opin...

This article investigates whether market competition enhances the incentives of Chinese industrial firms to avoid corporate income tax. We estimate the effects of competition on the relationship between firms reported accounting profits and their imputed profits based on the national income account. To cope with measurement errors and potential endogeneity, we use instrumental variables, exogen...

This paper analyses capital tax competition between jurisdictions of different size when multinational firms can shift some fraction of their tax base between them. For the case of revenue maximizing governments, we show that introducing profit shifting will not generally increase downward pressure on tax rates. We find that profit shifting decreases the tax-base elasticity of the low tax juris...

The Beckerian approach to tax compliance examines how a tax authority can maximize social welfare by trading-off audit probability against the fine rate on undeclared tax. This paper offers an alternative examination of the privately optimal behavior of a tax authority tasked by government to maximize expected revenue. The tax authority is able to trade-off audit probability against audit effec...

There is a widely held perception that fundamental tax reform would reduce the level of criminal and other “underground” economic activity. The popular argument relies on the idea that replacing the income tax with a sales tax would implicitly tax the return to criminal activity, whereas the return to crime is effectively untaxed by an income tax. This paper finds instead that the impact of tax...