The traditional economic approach to enforce tax compliance rests on the assumption that taxpayers are reluctant to pay their share, are inclined to maximize their egoistic goals by rationally considering audit probability and fines in case of detected evasion, and comply only if enforced to...

The “slippery slope framework” suggests two main determinants of tax compliance: trust in authorities and power of authorities. When both, trust and power, are low taxpayers aim at maximizing individual payoffs by evading taxes. Increasing power of authorities leads to enforced compliance,...