This paper studies tax evasion at the top of the U.S. income distribution using IRS micro-data from (i) random audits …, (ii) targeted enforcement activities, and (iii) operational audits. Drawing on this unique combination of data, we … demonstrate empirically that random audits underestimate tax evasion at the top of the income distribution. Specifically, random …

This paper attempts to estimate the size and distribution of tax evasion in rich countries. We combine random audits … Denmark. We find that tax evasion rises sharply with wealth, a phenomenon random audits fail to capture. On average about 3 …

This paper attempts to estimate the size and distribution of tax evasion in rich countries. We combine random audits …, and Denmark. We find that tax evasion rises sharply with wealth, a phenomenon random audits fail to capture. On average …