In 2007, Slovenia launched a comprehensive tax reform. This paper analyzes several proposed tax reform scenarios, including the flat tax proposal, with a dynamic general equilibrium model of the Slovenian economy, linked to a microsimulation model. We focus on the macroeconomic and welfare...

This paper analyzes tax base erosion in its different forms: tax evasion, tax under estimation, tax avoidance, and tax expenditures. It takes up the problems of defining tax base erosion and of the methodology for a measure of its magnitude. A survey of the magnitude of underground economy, tax...