Tax compliance under tax regime changes

Arbeitspapier

In this paper we focus on the compliance effects of tax regime changes. According to the economic model of tax evasion, a tax reform should affect compliance through its impact on tax rates and incentives. Our findings demonstrate the importance of at least two further effects not covered by the traditional model: First, reform losers tend to evade more taxes after the reform. Second, a reform from a proportionate to a progressive system decreases compliance compared to a switch in the reverse direction. However, the level of compliance is generally higher under a progressive than under a proportionate regime.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Munich Discussion Paper ; No. 2010-17

Classification and Topics

• Classification: Wirtschaft ; Noncooperative Games ; Design of Experiments: Laboratory, Individual ; Tax Evasion and Avoidance
• Subject: tax reforms ; tax compliance ; experiment ; Steuerreform ; Steuerprogression ; Steuermoral ; Test ; Deutschland

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Heinemann, Friedrich ; Kocher, Martin G.
• Event: Veröffentlichung
• (who): Ludwig-Maximilians-Universität München, Volkswirtschaftliche Fakultät
• (where): München
• (when): 2010

Further information

• DOI: doi:10.5282/ubm/epub.11443
• Handle: http://hdl.handle.net/10419/104300
• URN: urn:nbn:de:bvb:19-epub-11443-9
• Last update: 10.03.2025, 11:42 AM CET