scholarly journals Current State of Research on the Interaction of Theory on Tax Evasion and the Developments in the Field of Digital Tax Administration

2021 ◽  
Vol 1 (1) ◽  
pp. 95-110
Author(s):  
Tina Krieger
Keyword(s):  
Tax Evasion ◽  
Research Question ◽  
Tax Compliance ◽  
Fundamental Principle ◽  
Tax Administration ◽  
Starting Point ◽  
The Rich ◽  
State Of Research ◽  
The One ◽  
The Impact

Fairness in the sense of tax equality is a fundamental principle in modern tax systems, which needs to be protected for various reasons. This has become challenging for tax administrations – particularly in the digital age. On the one hand, digitalisation entails the danger of tax evasion and avoidance, but if used properly by the tax authorities, it may as well be a chance for more tax transparency. By surveying the existing literature on tax compliance in the context of digitalisation, this paper represents a first attempt to merge the rich research already done on the theory of tax evasion with the insights gained from the digitalisation efforts of tax administrations. The objective of this paper is to provide a solid starting point for further research in the area of digitalisation and fair taxation, addressing the research question: “How can digitalisation of the tax administrations contribute to fair taxation?” From the literature research, it became clear that there is no publication of a theoretical nature that systematically deals with the impact of the digitalisation of the tax administration on the objectives of fair taxation. However, our research revealed numerous literary references that provide a valuable starting point to unite the research streams and bridge the research gap identified.

scholarly journals A MODEL-THEORETICAL ANALYSIS FOR DIGITAL TAX ADMINISTRATIONS

2021 ◽  
Author(s):  
Tina Krieger
Keyword(s):  
Theoretical Analysis ◽  
Model Theory ◽  
Tax Evasion ◽  
Fundamental Principle ◽  
Tax Administration ◽  
Compliance Costs ◽  
Tax Returns ◽  
Tax Systems ◽  
The Impact

Fairness in the sense of tax equality is a fundamental principle in modern tax systems. In recent years tax administrations have been making tremendous advances in moving from paper tax returns to a far-reaching digitalisation of the taxation procedure. This paper represents the first attempt to examine the impact of digitalisation of the tax administration on fair taxation through model theory. The model suggested in this paper is based on Allingham and Sandmo’s tax evasion model (Allingham & Sandmo, 1972, 323–338) supplemented by psychological costs of tax evasion and compliance costs and then transferred to the context of digitalisation and fair taxation. The model is intended to mathematically derive the influence of various digitalisation measures on the taxpayer's decision to behave fairly. It implies that the objective of fair taxation should be promoted with a mix of deterrent and encouraging measures.

What's in a Name?

2022 ◽  
pp. 228-242
Author(s):  
Larissa Batrancea
Keyword(s):  
Tax Evasion ◽  
Ethnic Diversity ◽  
Tax Avoidance ◽  
Tax Compliance ◽  
Factors Influencing ◽  
The Difference ◽  
The Impact ◽  
Complex Matter

The topic of tax behavior always stirs attention among scholars, professionals, national and international authorities, organizations, and citizens alike since it is a complex matter. There are four types of tax behavior acknowledged in the literature, namely voluntary tax compliance, enforced tax compliance, tax avoidance, tax evasion. The complexity of tax behavior stems from the fact that there are a manifold of factors influencing it, from economic to psychological ones. The chapter surveys relevant sources on tax behavior in the quest for eliciting the impact of ethnic diversity on tax compliance. At the same time, the difference between countries are also addressed.

scholarly journals The Impact of Tax Administration on Revenue Generation in Gombe State, Nigeria

2018 ◽  
Vol 5 (8) ◽  
pp. 86
Author(s):  
Emmanuel Stephen N
Keyword(s):  
Tax Evasion ◽  
Pearson Correlation ◽  
Rank Correlation ◽  
Tax Avoidance ◽  
Primary Source ◽  
The State ◽  
The Body ◽  
Tax Administration ◽  
Revenue Generation ◽  
The Impact

Taxes<em> have been the bedrock of revenue generation to any government. The administration of tax is very important to any government as it is the body responsible for implementing and governing the tax laws and other tax related to assessment, collection and remittance of tax. This study is aimed at ascertaining the effect of tax administration on revenue generation in Gombe state. The study uses survey research design. The primary source of data collection was adopted, which analysed using descriptive statistics was made up of frequencies and simple percentages. Cronbach's Alpha diagnose was carried out to seek for reliability of the questions contained in the questionnaire Three Hypotheses were presented in this research and were tested using Spearman’s Rank correlation, Pearson correlation and linear regression. Research findings indicated that Tax Administration in the state is not efficient and effective. The study revealed further that revenue generated in the state is low to meet its objectives due to low level of enlightenment of tax payers and incidents of tax evasion and tax avoidance. To this end, the study recommends, among others, that authorities should embark on more enlightenment campaign of citizens on the significance of paying Personal Income Tax, the quality and efficiency of tax workers should be improved so that more effective administration will be achieved and automation of the system.</em>

scholarly journals INFORMATION AND COMMUNICATION TECHNOLOGY (ICT) AND SERVICE DELIVERY IN NIGERIAN PUBLIC SECTOR: A STUDY OF FEDERAL INLAND REVENUE SERVICE (2000-2019)

2020 ◽  
pp. 1-15
Author(s):  
Edem Edemekong Edemidiong ◽  
Ebong, Itoro Bassey ◽  
Osezua Ozinegbe
Keyword(s):  
Service Delivery ◽  
Information And Communication Technology ◽  
Communication Technology ◽  
Tax Evasion ◽  
Tax Compliance ◽  
Business World ◽  
Revenue Generation ◽  
Information And Communication ◽  
Inland Revenue ◽  
The Impact

This paper examined the impact of Information and Communication Technology (ICT) on the level of services delivered by the Federal Inland Revenue Service (FIRS). The paper was premised on the perceived importance and role of the online platform in the prompt payment of corporate tax as its efficiency in increasing compliance while decreasing the level of tax evasion by corporate bodies. A related challenge that is increasingly being faced by users of electronic facilities for government transaction is a lack of universal security mechanism that forms a first line of defense for such users. The objective of the paper was to examine the impact of ICT on the level of revenue generation efforts of the FIRS and the level of tax evasion in Nigeria. Technology acceptance model was used as theoretical framework of analysis. The paper adopted survey and descriptive research design to elicit responses from the study sample. Both primary and secondary sources of data were used in eliciting information needed for the study. Pearson pear product and chi-square method were used as statistical method of analysis. The major findings of the study revealed among others that application of ICT will only amount to negligible level of revenue generation. It was also revealed that the relationship between application of ICT and the level of tax compliance and acceptability is not significant. Based on the findings, the paper recommended among others, that the government and their agencies should embark on an all-important campaign for attitude and behavioral change with regards to encouraging people in the business world to perceive tax as an obligation to the state and not just a yearly ritual that must be embarked upon by them. KEYWORDS: Federal Inland Revenue, Information Communication Technology, Taxation and Service Delivery

scholarly journals Geweld in die Nuwe Testament en die Romeinse Ryk: Ambivalensie, andersheid, agentskap

2008 ◽  
Vol 64 (4) ◽  
Author(s):  
Jeremy Punt
Keyword(s):  
Roman Empire ◽  
New Testament ◽  
Common Factor ◽  
First Century ◽  
Valuable Insight ◽  
Starting Point ◽  
The New Testament ◽  
Mixed Messages ◽  
The One ◽  
The Impact

Violence in the New Testament and the Roman Empire: Ambivalence, othering, agency The various ways in and degrees to which the New Testament is associated with peace, or the end or absence of violence, have often been argued or at least assumed. In contrast more recently, some studies have also argued that the New Testament documents endured and tolerated, but at times also incited and sanctioned violence – positions accompanied by various theories that have been offered to explain the prevalence of Biblical violence. The ambivalence of the New Testament texts regarding violence, particularly their virtually concurrent rejection and condoning of violence, mirrors the ambivalence of the New Testament’s imperial setting. And, the agency regarding violence is situated variously by and through the documents addressing various socio-historical contexts in the agonistic first century CE, with the one common factor being the ubiquitous presence of the Roman Empire. It is argued that greater consideration for the impact of the imperial setting on the New Testament positions regarding violence provides an important starting point for and valuable insight in understanding the mixed messages (and accompanying tensions) of the New Testament concerning violence.

TAX PLANNING: PRACTICAL PROBLEMS OF IMPLEMENTATION

2017 ◽  
Author(s):  
Tetiana Shulha ◽  
◽  
Kateryna Khaletska ◽  
Keyword(s):  
Tax Evasion ◽  
Tax Avoidance ◽  
Tax Compliance ◽  
Tax Planning ◽  
Planning System ◽  
Corporate Management ◽  
Tax Management ◽  
Basic Approaches ◽  
The One ◽  
Definition Of

The article has investigated scientific achievements of scientists, who studied the issue of "tax planning" in the system of tax management at an enterprise. The basic approaches to definition of essence of tax planning in the system of corporate management of an enterprise are established. The article has given its own definition of "tax planning". It has ascertained that one of the important elements of tax compliance at the enterprise is tax planning and has substantiated the necessity of its introduction. The article also has defined the main objectives of tax planning. The necessity of introduction of planning is connected to its ability to prevent delinquencies in the sphere of taxation, define losses the enterprise may incur in payment of taxes, determine optimal ways of enterprise activity and etc. The article has described the main levels of planning - strategic, current, operational, and identifies tasks at each of them. Types of tax planning and their peculiarities are established and investigated. The conclusion about the relevance and necessity of the use of tax planning system by the enterprise for its successful functioning is made. It has proved the expediency of creation of special structural subdivisions and engagement of separate specialists for realization of tax planning functions at the enterprises. The article has defined practical problems of implementation of tax planning in an enterprise to which the one can refer: absence of legislative regulation, confusion of notions of "tax planning" with notions of "tax evasion" and "tax avoidance", implementation of aggressive tax planning in an enterprise, inexperience of governing bodies of economic entities and/or their neglect of tax planning. Ways of solving these problems that have developed in practice include defining tax planning, its system, principles, methods and techniques at the level of law, and improving its organizational, informational and methodological support in the enterprise.

The impact of unemployment on the welfare of mobile workers in the European Union

2013 ◽  
Vol 3 (2) ◽  
pp. 69-90
Author(s):  
Irina S. Burlacu ◽  
Cathal O'Donoghue
Keyword(s):  
Research Question ◽  
Equal Treatment ◽  
Unemployment Benefit ◽  
The European Union ◽  
The Social ◽  
Working Groups ◽  
The One ◽  
Coordination Policy ◽  
The Impact ◽  
Mobile Worker

This article aims to assess the impact of the social security coordination policy on the welfare of mobile workers, defined here as the EU citizens who had previously worked in another EU country than the one where they currently reside. The following research question is investigated: "To whom does a mobile worker need to be compared: to a worker in their country of residence (domestic) or to an earner in their country of employment (mobile), and why?" The article seeks to identify the counterpart group of comparison of mobile earners, taking the case of Luxembourg and Belgium. This analysis enables us to disentangle the effects of coordination policy on more working groups, and it tries to elucidate the importance of inter-group comparison. The results illustrate that the most equally treated groups are domestic earners and mobile earners, who reside in the same country. The most unequally treated are mobile earners and domestic earners from the country of employment, the uneven contribution premiums and unemployment benefit contravenes with the principle of equal treatment praxis.Spanish El presente artículo busca evaluar el impacto de la política de coordinación de la seguridad social sobre el bienestar de los trabajadores móviles. Mediante el análisis de la cuestión ¿con quién se debe comparar un trabajador móvil?: ¿con un trabajador nacional en su país de residencia o con un trabajador móvil en el país donde trabaja, y por qué?, se trata de identificar la situación hipotética de los trabajadores móviles mediante la comparación de los ingresos de los trabajadores nacionales y móviles en el desempleo. Este análisis nos permitirá separar los efectos de las políticas de coordinación en más grupos de trabajadores, ya que trata de dilucidar el uso de las comparaciones de los diferentes grupos de trabajadores. Los resultados muestran que el nivel de las prestaciones de desempleo entre los trabajadores nacionales y móviles, es relativamente el mismo. Al mismo tiempo, aparecen grandes discrepancias en las ganancias cuando se comparan a los trabajadores móviles con los trabajadores de su país de empleo. En este caso, la desigual contribución a las primas/beneficios y las bajas prestaciones al desempleo de los trabajadores móviles y nacionales, contraviene con la práctica del principio de igualdad de trato. French Cet article a pour objectif d'évaluer l'impact de la politique de coordination de la sécurité sociale sur le bien-être des travailleurs mobiles en posant la question de savoir avec qui il faut les comparer. Faut-il comparer un employé mobile à un employé fixe travaillant dans son pays de résidence ou bien dans son pays d'emploi et pourquoi? Nous cherchons à me re en relief la situation hypothétique des travailleurs mobiles en comparant le revenu des travailleurs nationaux et mobiles au chômage. Cette analyse nous perme ra de mieux saisir les effets de la politique de coordination sur un grand nombre de travailleurs, tout comme elle nous permettra de montrer l'utilité qu'il y a de comparer ces différents groupes de travailleurs. Le résultat montre que le montant de l'allocation chômage est relativement similaire entre celui d'un travailleur fixe et mobile. Par ailleurs, on relève d'importantes différences entre le revenu des travailleurs mobiles et celui des travailleurs nationaux. Dans ce cas, la cotisation inégale aux primes et indemnités de chômage des travailleurs nationaux et mobiles contredit le principe d'égalité de traitement entre les personnes.

scholarly journals How can tax compliance be incentivized? An experimental examination of voice and empathy

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mariam AbdelNabi ◽  
Khedr Wanas ◽  
Sarah Mansour
Keyword(s):  
Tax Evasion ◽  
Explanatory Variable ◽  
Public Spending ◽  
Tax Compliance ◽  
Arab Countries ◽  
Social Implications ◽  
Welfare Programs ◽  
Content Type ◽  
Compliance Behavior ◽  
The Impact

PurposeTax evasion is an economic crime that nearly all world countries suffer from. Its consequences are countless, including poor public spending on infrastructure projects and social welfare programs, low economic growth and development, institutional mistrust and fiscal deficits. For developing countries in particular, targeting development programs and infrastructural investments requires an efficient tax collection policy to generate sufficient funds for such purposes. This makes the tax evasion problem a critical one and countering it extremely policy relevant. Based on evidence that shows how the understanding of taxpayers' behavior is an essential factor in fighting evasion, this paper aims to test different factors that might incentivize citizens using a behavioral and experimental approach, in non-Western educated industrialized rich democracies (non-WEIRD) countries, to comply more.Design/methodology/approachThis paper uses a survey experiment to examine the impact of different behavioral primes on tax compliance behavior. Specifically, it observes subjects' compliance behavior in two contexts: voice and empathy. A total of 273 students from a big public university in Egypt were randomly selected to participate in this study.FindingsIn the “Voice” treatment, the explanatory variable (VOICE) was found statistically significant, thus confirming the hypothesis that democracy, through having a voice in the decision-making process, affects compliance positively. As for the “Empathy” treatment, the explanatory variable (EMPATHY) was also found significant. This confirms the second hypothesis that triggering feelings of empathy, through highlighting the good cause behind public spending that uses taxpayers' money, affects compliance behavior positively.Research limitations/implicationsDespite the fact that the experimental methodology is a methodology with high internal validity, examining the impact of a specific intervention on behavior, a replication of the experiment in other contexts might be useful in increasing the external validity of the findings. Specifically, conducting this experiment on a nonstudent sample might lead to even more powerful results by increasing the ecological validity of the results.Practical implicationsThis study advocates a more behaviorally informed public policy. Specifically, Egyptian policymakers are recommended to adopt behavioral nudges as a complement to existing policies. The authors believe the findings, if confirmed by repeated experiments (lab, lab-in-the-field and rational choice theories on both student and non-student samples) in a number of Arab countries, might also help in offering cost-effective nudges for the Arab world policymakers, where culture and the political context are to a great extent similar.Social implicationsThe findings of the study have a number of social implications. Higher tax compliance will enable higher levels of public spending on a number of social targets such as education, health and welfare programs.Originality/valueWhile the study builds on recent research examining how to incentivize tax compliance, it simultaneously seeks to make three contributions. First, the study design aims to apply recent advances in behavioral sciences (impact of voice and empathy) in a policy area that has not seen much use of such interventions in the Egyptian context (i.e. tax compliance). Second, the study is policy relevant in the sense that it aims to increase the effectiveness of existing government policies by complementing them with behavioral primes. Third, there is nearly no literature found applying this topic in a non-WEIRD country such as Egypt.

scholarly journals The impact of budget transparency on tax compliance

2021 ◽  
Vol 284 ◽  
pp. 07029
Author(s):  
Tatyana Zvereva ◽  
Pavel Taranov ◽  
Angelika Musaelyan ◽  
Marina Krasnoplakhtich ◽  
Antonina Pavlyukova
Keyword(s):  
Tax Evasion ◽  
Economic Status ◽  
National Level ◽  
Tax Compliance ◽  
Preventive Measure ◽  
The State ◽  
Tax Burden ◽  
Public Finances ◽  
Per Capita ◽  
The Impact

The article analyzes the factors influencing tax evasion: the value of gross domestic product per capita, tax burden, corruption and openness of information on the use of budgetary funds. The correlation model includes the analysis of two groups of indicators. The first group is indicators of the individual level: education, socio-economic status, attitude to religion, gender, etc. The second group is indicators of the global or national level: GDP per capita, tax burden, the level of corruption in the country, the degree of financial transparency of public finances. The results of the study confirmed the hypothesis that law-abiding tax behavior is largely determined by the openness of information about the use of tax revenues by governments. Disclosure of information on the use of budget funds can become a powerful tool for strengthening the understanding of the legitimacy of the state tax policy, as well as act as a preventive measure to overcome existing facts of tax evasion. Increasing the transparency of public finances will make it possible to reproduce a new level of tax culture, to form an internal agreement of citizens with the fiscal policy of the state.

scholarly journals Financial Frictions and Firm Informality

2020 ◽  
Vol 20 (211) ◽  
Author(s):  
Luis Franjo ◽  
Nathalie Pouokam ◽  
Francesco Turino
Keyword(s):  
Informal Economy ◽  
Tax Evasion ◽  
Occupational Choice ◽  
Financial Frictions ◽  
Financial Deepening ◽  
The One ◽  
High Level ◽  
The Impact ◽  
Progressive Income Taxation ◽  
Different Levels

In this paper we build a model of occupational choice with informal production and progressive income taxation. We calibrate the model to the Brazilian economy to evaluate the impact of removing financial frictions on informality. We find that financial deepening leads to a drop in the size of the informal sector (from 37 percent to 22 percent of official GDP), to an increase in measured TFP (by 4 percent), to an increase in official GDP (by 27 percent), to a decrease in tax evasion (by 17 percent) and to an increase in fiscal revenues (by 15 percent). When assessing the response of this policy at different levels of financial development, we find a non-linear relationship between the credit-to-GDP ratio on the one hand, and either the size of the informal economy, or GDP per capita on the other hand. We test these features with cross-country data and find evidence in favor of both types of non-linearity. We also investigate changes in the income tax progressitivity as an alternative policy and find it to be more effective in countries with a medium to high level of financial markets development.

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