Prepayment position (additional tax due vs a tax refund) shouldn't influence taxpayer compliance behavior at the time of filing an annual tax return. However, prospect theory predicts that an individual's income tax withholding position affects taxpayer compliance. Prior research has produced...

This Handbook entry presents a conceptual, normative overview of the subject of taxation. It emphasizes the relationships among the main functions of taxation—notably, raising revenue, redistributing income, and correcting externalities—and the mapping between these functions and various...