Evaluating compliance gains of expanding tax enforcement

IF 1.6 3区 经济学 Q2 ECONOMICS Economica Pub Date : 2023-10-17 DOI:10.1111/ecca.12499
Knut Løyland, Oddbjørn Raaum, Gaute Torsvik, Arnstein Øvrum
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Abstract

This paper demonstrates how tax administrations can evaluate future compliance gains from risk-based tax enforcement that audits all taxpayers above a risk threshold. Expanding tax enforcement in this setting means reducing the audit threshold. The compliance gains from such an expansion consist of a mechanical audit correction effect and a behavioural effect that reflects changes in self-reporting in the subsequent years. We estimate this behavioural effect in a regression discontinuity analysis with the risk score as the forcing variable. We find that taxpayers at the margin had a significant reduction in self-reported deductions in the next years' tax filing. The behavioural effect over a three-year post-audit period is estimated to be of a magnitude similar to that of the direct adjustment of the audit. This compliance effect does not change when we include the reporting of the spouse. We find that the risk score threshold that maximizes net public revenue from the audits is considerably below current practice.

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评估扩大税收执法的合规收益
本文论证了税收管理部门如何评估基于风险的税收执法在未来的合规收益,即对所有超过风险阈值的纳税人进行审计。在这种情况下扩大税收执法范围意味着降低审计门槛。这种扩大带来的合规收益包括机械审计修正效应和反映随后几年自我报告变化的行为效应。我们以风险评分作为强迫变量,通过回归不连续分析来估计这种行为效应。我们发现,处于边缘的纳税人在下一年度报税时自我申报的扣除额显著减少。据估计,审计后三年内的行为效应与审计直接调整的效应相近。当我们将配偶的申报包括在内时,这种合规效应并没有改变。我们发现,使审计带来的公共净收入最大化的风险评分阈值大大低于现行做法。
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来源期刊
Economica
Economica ECONOMICS-
CiteScore
2.40
自引率
0.00%
发文量
49
审稿时长
5 weeks
期刊介绍: Economica is an international journal devoted to research in all branches of economics. Theoretical and empirical articles are welcome from all parts of the international research community. Economica is a leading economics journal, appearing high in the published citation rankings. In addition to the main papers which make up each issue, there is an extensive review section, covering a wide range of recently published titles at all levels.
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