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This paper provides evidence of evasion in the context of a widely used commuter tax allowance, and explores evasion spillovers as a determinant of the individual compliance decision. For this purpose, we exploit discontinuities in the commuter allowance scheme and employ a research design...
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, and fuel smuggling. By studying the impact of fuel subsidy reform on consumption, tax incidence, and fiscal efficiency, it … shows that the presence of illicit activities substantially strengthens the argument in favour of subsidy reform: First …, fuel subsidy reform can shift the tax base to energy goods, which are less prone to tax evasion losses than for instance …
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We propose a model that captures tax avoidance as an investment under uncertainty: searching for tax loopholes or developing legal avoidance schemes is associated with costs; the tax benefit is however uncertain. Its height depends on whether or not the tax agency agrees with the chosen...
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This study investigates the contagious nature of tax avoidance by examining how narratives affect tax avoiding behavior. We adapt the idea of narrative economics indicating that individuals' actions are stimulated by stories that spread within a society. We employ two types of infection models...
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