Income Tax Evasion, Inequality and Poverty
AbstractThis paper uses a consumer demand based method to estimate the extent to which households in Cyprus under-report their income from self-employment, capital income and income from agriculture. On the basis of these estimates, the size of black economy appears to be around 7–8% of GDP. We find that income under-reporting biases measures of inequality and poverty downwards, suggesting that egalitarian and antipoverty policies need to become more generous, but also more carefully targeted to avoid false entitlement to social benefits. The high tax free income undoubtedly helps reduce the size of the tax evasion problem in Cyprus.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by University of Cyprus, Economics Research Centre in its journal Cyprus Economic Policy Review.
Volume (Year): 2 (2008)
Issue (Month): 2 (December)
Contact details of provider:
Postal: P O Box 20537, 1678 Nicosia
Phone: + 357 22892429
Fax: + 357 22892426
Web page: http://www.ucy.ac.cy/goto/ecorece/el-GR/HOME.aspx
More information through EDIRC
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Christos Koutsampelas, 2011. "Social transfers and income distribution in Cyprus," Cyprus Economic Policy Review, University of Cyprus, Economics Research Centre, vol. 5(2), pages 35-55, December.
- Matsaganis, Manos & Benedek, Dóra & Flevotomou, Maria & Lelkes, Orsolya & Mantovani, Daniela & Nienadowska, Sylwia, 2010. "Distributional implications of income tax evasion in Greece, Hungary and Italy," MPRA Paper 21465, University Library of Munich, Germany.
- Manos Matsaganis & Maria Flevotomou, 2010. "Distributional implications of tax evasion in Greece," LSE Research Online Documents on Economics 26074, London School of Economics and Political Science, LSE Library.
- Efthymiou, Leonidas & Michael, Sophia, 2013. "When Cards and ATM’s are the only choice: A fortnight in Cyprus with no banking system, nor trust," MPRA Paper 50646, University Library of Munich, Germany.
- Manos Matsaganis & Maria Flevotomou, 2010. "Distributional Implications of Tax Evasion in Greece," GreeSE â Hellenic Observatory Papers on Greece and Southeast Europe 31, Hellenic Observatory, LSE.
- repec:ese:emodwp:em17-13 is not listed on IDEAS
- Manos Matsaganis & Chrysa Leventi & Maria Flevotomou, 2012. "The Crisis and Tax Evasion in Greece: What are the Distributional Implications?," CESifo Forum, Ifo Institute for Economic Research at the University of Munich, vol. 13(2), pages 26-32, 07.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Angela Shekersavva).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.