The paper presents a comparative study of systems for withholding income tax on wages and identifies those that can be used in developing countries and countries in transition. The withholding system should be simple and reduce the need for return filing as much as possible. Collection of social...

The term ‘hard-to-tax' (HTT), in tax evasion literature, refers to farmers, small and medium-sized enterprises (SMEs), and professionals. However, research on the hard-to-tax in low and middle income countries (LMICs) has primarily focussed on farmers and SMEs. Professionals are rarely...

Turnover (sales) is frequently used in developing countries as a presumptive income tax base, to economize on the costs of tax administration and taxpayer compliance. We construct a simple model where a size threshold separates firms paying turnover tax from those paying profit tax (regular...

The Organization for Economic Cooperation and Development (OECD) under Base Erosion and Profit Shifting (BEPS) Action 2 indicated that tax arbitrage via hybrid mismatch arrangements “result in a substantial erosion of the taxable bases of the countries concerned” and “have an overall...