We investigate (i) whether traders on an experimental asset market form different and separate mental accounts for sale revenues and for dividend earnings and whether (ii) an increase in tax penalty or (iii) an increase in audit frequency increases tax compliance. The results indicate that participants did not form separate mental accounts for sale revenues and for dividend earnings. However in...

This paper studies the evolutions of tax morale in Spain in the post-Franco era. Tax morale, defined as the intrinsic motivation to pay taxes, might be a key determinant of the actual degree of tax compliance in a country. But despite its potential significance, most studies in the previous literature have treated tax morale as an exogenous residual. In contrast to the previous tax compliance l...

The issue of tax compliance has been dealt with in the literature almost exclusively by studying the behavior of taxpayers. But important insights on tax compliance can be gained by looking at how the tax authority deals with the taxpayers. Taxpayers’ willingness to pay their taxes, or tax morale, is supported, or even raised, when the tax officials treat them with respect. In contrast, when th...

This paper reviews the evidence on tax non-compliance and the “underground economy” in Canada, with an emphasis on the reporting activities of self-employed individuals and businesses. Indirect methods of estimating the size of the unrecorded sector are found to generate widely varying, and in a number of cases implausible, estimates of underground activity. More direct evidence from enforcemen...

This paper reviews the evidence on tax non-compliance and the “underground economy” in Canada, with an emphasis on the reporting activities of self-employed individuals and businesses. Indirect methods of estimating the size of the unrecorded sector are found to generate widely varying, and in a number of cases implausible, estimates of underground activity. More direct evidence from enforcemen...

The subject. author studies models of tax administration. purpose the article is to confirm or refute hypothesis that successful administration strategy consists a balanced combination enforcement measures and positive incentives. methodology study includes content analysis scientific papers prepared by European American lawyers economists. main results , scope application. Tax compliance an es...

The Effects of an Employment Tax Enforcement Regime on US Small Business and Proprietor Payment Compliance by Rafael Dacal April 2017 Chair: Dr. Detmar W. Straub, Jr Major Academic Unit: J. Mack Robinson College of Business This study attempted to identify ways to improve voluntary compliance and minimize taxpayer burden, but also tries to understand the behavior of taxpayers’ compliance given ...

The traditional “enforcement” paradigm of tax administration views taxpayers as potential criminals, and emphasizes the repression of illegal behavior through frequent audits and stiff penalties. However, an important trend in tax administration policies in recent years is the recognition that this paradigm is incomplete. Instead, a revised “service” paradigm recognizes the role of enforcement,...