This article discusses the House of Lords' decisions of November 2004 in Commissioners of Inland Revenue v. Scottish Provident Institution and Barclays Mercantile Business Finance Ltd v Mawson. The cases both involved anti-avoidance schemes. The court found for the taxpayer in one case and for...

The extensive OECD/G20 Base Erosion and Profit Shifting Project (BEPS) in its Final Report on Action 6 “Preventing the Granting of Treaty Benefits in Inappropriate Circumstances” (Action 6 Final Report) focused on tax treaty abuse as one of the biggest concerns of the BEPS initiative. Action...

Why do some individuals choose to evade taxes while others do not? One popular view is that some individuals cheat on their taxes because they are more dishonest, selfish, or perceive different social norms. There is, however, little direct evidence on this matter. In collaboration with the...

This paper provides a general equilibrium model of income tax evasion. As functions of the share of income reported, the paper contributes an analytic derivation of the tax elasticity of taxable income, the welfare cost of the tax, and government revenue as a percent of output. It shows how an...

While the world taxpayers focus on aggressive tax planning, the world jurisdictions try to deal with that especially under the leadership OECD. Until now, it is hard to say that jurisdictions are successful to solve this problem. And some other countries have started to take unilateral measures...

We investigate the association between tax avoidance and offshore activities using a new text-based measure for offshore activities based on Hoberg and Moon (2017, 2019). Our evidence shows that although providing cross-border tax avoidance opportunities, offshore activities reduce the marginal...

Using a large panel dataset on worldwide operations of multinational firms, this paper studies one of the most advocated anti-tax-avoidance measures: Controlled Foreign Corporation rules. By including income of foreign low-tax subsidiaries in the domestic tax base, these rules create incentives...

Can public shaming increase tax compliance through social pressure? Many tax authorities make ample use of public shaming. However, empirical evidence from outside the laboratory on how a new shaming law affects overall compliance is lacking. We provide the first evidence from the field,...

This paper provides a general equilibrium model of income tax evasion. As functions of the share of income reported, the paper contributes an analytic derivation of the tax elasticity of taxable income, the welfare cost of the tax, and government revenue as a percent of output. It shows how an...