deterring them, even if audits can be performed costlessly. When there is no cheating, redistribution takes place on first- and …

data on all business taxpayer audits by the South African Revenue Services during that time period. The results suggest … that audits significantly raise the tax reporting of non-audited neighboring firms. While the observed spillovers decline …

costs and benefits of evasion. However, there is no direct evidence that firms react to audits in this way. We conducted a …, as well as on the actual taxes paid, based on administrative data. We find that providing information about audits had a … consistent with an alternative model, risk-as-feelings, in which messages about audits generate fear and induce probability …