A general equilibrium model of Value Added Tax evasion: an application to Pakistan
Author
Abstract
Suggested Citation
DOI: 10.1007/s10368-022-00530-z
Download full text from publisher
As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.
Other versions of this item:
- Andrew Feltenstein & Jorge Martinez-Vazquez & Biplab Datta & Sohani Fatehin, 2021. "A General Equilibrium Model of Value Added Tax Evasion: An Application to Pakistan," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper2102, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
References listed on IDEAS
- Chandler McClellan, 2019. "Growth Effects of VAT Evasion and Enforcement," Public Finance Review, , vol. 47(3), pages 530-557, May.
- Feltenstein, Andrew & Mejia, Carolina & Newhouse, David & Sedrakyan, Gohar, 2017.
"The poverty implications of alternative tax reforms: Results from a numerical application to Pakistan,"
Journal of Asian Economics, Elsevier, vol. 52(C), pages 12-31.
- Feltenstein,Andrew & Mejia-Mantilla,Carolina & Newhouse,David Locke & Sedrakyan,Gohar, 2017. "The poverty implications of alternative tax reforms: results from a numerical application to Pakistan," Policy Research Working Paper Series 8164, The World Bank.
- Natasha Sarin & Lawrence H. Summers, 2019. "Shrinking the Tax Gap: Approaches and Revenue Potential," NBER Working Papers 26475, National Bureau of Economic Research, Inc.
- Aguirre, Carlos A. & Shome, Parthasarathi, 1988. "The Mexican Value-Added Tax (VAT): Methodology for Calculating the Base," National Tax Journal, National Tax Association;National Tax Journal, vol. 41(4), pages 543-554, December.
- Richard M. Bird & Jorge Martinez-Vazquez & Benno Torgler, 2014.
"Societal Institutions and Tax Effort in Developing Countries,"
Annals of Economics and Finance, Society for AEF, vol. 15(1), pages 301-351, May.
- Richard M. Bird & Jorge Martinez-Vazquez & Benno Torgler, 2004. "Societal Institutions and Tax Effort in Developing Countries," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0406, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
- Richard M. Bird & Jorge Martinez-Vazquez & Benno Torgler, 2004. "Societal Institutions and Tax Effort in Developing Countries," CREMA Working Paper Series 2004-21, Center for Research in Economics, Management and the Arts (CREMA).
- Richard M. Bird & Jorge Martinez-Vazquez & Benno Torgler, 2008. "Societal Institutions and Tax Effort in Developing Countries," CEMA Working Papers 582, China Economics and Management Academy, Central University of Finance and Economics.
- Kent Matthews & Jean Lloyd-Williams, 2001. "The VAT-Evading Firm and VAT Evasion: An Empirical Analysis," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 8(1), pages 39-49.
- Asatryan, Zareh & Gomtsyan, David, 2020.
"The incidence of VAT evasion,"
ZEW Discussion Papers
20-027, ZEW - Leibniz Centre for European Economic Research.
- Zareh Asatryan & David Gomtsyan, 2020. "The Incidence of VAT Evasion," CESifo Working Paper Series 8666, CESifo.
- Kaplow, Louis, 1990.
"Optimal taxation with costly enforcement and evasion,"
Journal of Public Economics, Elsevier, vol. 43(2), pages 221-236, November.
- Louis Kaplow, 1989. "Optimal Taxation with Costly Enforcement and Evasion," NBER Working Papers 2996, National Bureau of Economic Research, Inc.
- Graetz, Michael J & Reinganum, Jennifer F & Wilde, Louis L, 1986.
"The Tax Compliance Game: Toward an Interactive Theory of Law Enforcement,"
The Journal of Law, Economics, and Organization, Oxford University Press, vol. 2(1), pages 1-32, Spring.
- Graetz, Michael J. & Reinganum, Jennifer F. & Wilde, Louis L., "undated". "The Tax Compliance Game: Toward an Interactive Theory of Law Enforcement," Working Papers 589, California Institute of Technology, Division of the Humanities and Social Sciences.
- Paul Carrillo & Dina Pomeranz & Monica Singhal, 2017.
"Dodging the Taxman: Firm Misreporting and Limits to Tax Enforcement,"
American Economic Journal: Applied Economics, American Economic Association, vol. 9(2), pages 144-164, April.
- Paul Carrillo & Dina Pomeranz & Monica Singhal, 2014. "Dodging the Taxman: Firm Misreporting and Limits to Tax Enforcement," Harvard Business School Working Papers 15-026, Harvard Business School.
- Singhal, Monica & Pomeranz, Dina & Carrillo, Paul, 2015. "Dodging the Taxman: Firm Misreporting and Limits to Tax Enforcement," CEPR Discussion Papers 10603, C.E.P.R. Discussion Papers.
- Paul Carrillo & Dina Pomeranz & Monica Singhal, 2014. "Dodging the Taxman: Firm Misreporting and Limits to Tax Enforcement," NBER Working Papers 20624, National Bureau of Economic Research, Inc.
- Bogetic, Zeljko & Hassan, Fareed, 1993. "Determinants of value - added tax revenue : a cross section analysis," Policy Research Working Paper Series 1203, The World Bank.
- Ethan Ilzetzki & David Lagakos, 2017. "The Macroeconomic Benefits of Tax Enforcement in Pakistan," Working Papers id:12130, eSocialSciences.
- Timothy Besley & Torsten Persson, 2014.
"Why Do Developing Countries Tax So Little?,"
Journal of Economic Perspectives, American Economic Association, vol. 28(4), pages 99-120, Fall.
- Besley, Timothy & Persson, Torsten, 2014. "Why do developing countries tax so little?," LSE Research Online Documents on Economics 66002, London School of Economics and Political Science, LSE Library.
- Kodjo Adandohoin, 2021. "Tax transition in developing countries: do value added tax and excises really work?," International Economics and Economic Policy, Springer, vol. 18(2), pages 379-424, May.
- Mr. William Jack, 1996. "The Efficiency of VAT Implementation: A Comparative Study of Central and Eastern European Countries in Transition," IMF Working Papers 1996/079, International Monetary Fund.
- Serhan Cevik, 2018. "Unlocking Pakistan’s Revenue Potential," South Asian Journal of Macroeconomics and Public Finance, , vol. 7(1), pages 17-36, June.
- Wojciech Kopczuk & Joel Slemrod, 2006. "Putting Firms into Optimal Tax Theory," American Economic Review, American Economic Association, vol. 96(2), pages 130-134, May.
- Jenkins, Glenn P. & Kuo, Chun-Yan, 2000.
"A VAT Revenue Simulation Model for Tax Reform in Developing Countries,"
World Development, Elsevier, vol. 28(4), pages 763-774, April.
- Jenkins, G-P & Kuo, C-Y, 1995. "A Vat Revenue Simulation Model for Tax Reform in Developing Countries," Papers 522, Harvard - Institute for International Development.
- Glenn P. Jenkins & Chun-Yan Kuo, 2000. "A VAT Revenue Simulation Model for Tax Reform in Developing Countries," Development Discussion Papers 2000-12, JDI Executive Programs.
- repec:bla:scandj:v:93:y:1991:i:1:p:75-88 is not listed on IDEAS
- Richard M. Bird & Jorge Martinez-Vazquez & Benno Torgler, 2014.
"Societal Institutions and Tax Effort in Developing Countries,"
Annals of Economics and Finance,
Society for AEF, vol. 15(1), pages 301-351, May.
- Richard M. Bird & Jorge Martinez-Vazquez & Benno Torgler, 2004. "Societal Institutions and Tax Effort in Developing Countries," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0406, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
- Richard M. Bird & Jorge Martinez-Vazquez & Benno Torgler, 2004. "Societal Institutions and Tax Effort in Developing Countries," International Tax Program Papers 0411, International Tax Program, Institute for International Business, Joseph L. Rotman School of Management, University of Toronto.
- Richard M. Bird & Jorge Martinez-Vazquez & Benno Torgler, 2004. "Societal Institutions and Tax Effort in Developing Countries," CREMA Working Paper Series 2004-21, Center for Research in Economics, Management and the Arts (CREMA).
- Richard M. Bird & Jorge Martinez-Vazquez & Benno Torgler, 2008. "Societal Institutions and Tax Effort in Developing Countries," CEMA Working Papers 582, China Economics and Management Academy, Central University of Finance and Economics.
- Mr. Bernardin Akitoby & Ms. Anja Baum & Clay Hackney & Olamide Harrison & Keyra Primus & Ms. Veronique Salins, 2018. "Tax Revenue Mobilization Episodes in Emerging Markets and Low-Income Countries: Lessons from a New Dataset," IMF Working Papers 2018/234, International Monetary Fund.
- Slemrod, Joel & Yitzhaki, Shlomo, 2002.
"Tax avoidance, evasion, and administration,"
Handbook of Public Economics, in: A. J. Auerbach & M. Feldstein (ed.), Handbook of Public Economics, edition 1, volume 3, chapter 22, pages 1423-1470,
Elsevier.
- Joel Slemrod & Shlomo Yitzhaki, 2000. "Tax Avoidance, Evasion, and Administration," NBER Working Papers 7473, National Bureau of Economic Research, Inc.
- Bergman, Marcelo & Nevarez, Armando, 2006. "Do Audits Enhance Compliance? An Empirical Assessment of VAT Enforcement," National Tax Journal, National Tax Association;National Tax Journal, vol. 59(4), pages 817-832, December.
- Kodjo Adandohoin, 2021. "Tax transition in developing countries : do value added tax and excises really work ?," Post-Print hal-03188786, HAL.
- Agha, Ali & Haughton, Jonathan, 1996. "Designing VAT Systems: Some Efficiency Considerations," The Review of Economics and Statistics, MIT Press, vol. 78(2), pages 303-308, May.
- Luiz de Mello, 2009. "Avoiding the Value Added Tax," Public Finance Review, , vol. 37(1), pages 27-46, January.
- George Economides & Apostolis Philippopoulos & Anastasios Rizos, 2020. "Optimal tax policy under tax evasion," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 27(2), pages 339-362, April.
- Darío Debowicz & Paul Dorosh & Hamza Haider & Sherman Robinson, 2013. "A Disaggregated and Macro-consistent Social Accounting Matrix for Pakistan," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 2(1), pages 1-25, December.
- Cremer, Helmuth & Gahvari, Firouz, 1993. "Tax evasion and optimal commodity taxation," Journal of Public Economics, Elsevier, vol. 50(2), pages 261-275, February.
- Richard Bird & Pierre-Pascal Gendron, 2006. "Is VAT the Best Way to Impose a General Consumption Tax in Developing Countries," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0618, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
- Joana Naritomi, 2019.
"Consumers as Tax Auditors,"
American Economic Review, American Economic Association, vol. 109(9), pages 3031-3072, September.
- Naritomi, Joana, 2018. "Consumers as Tax Auditors," CEPR Discussion Papers 13276, C.E.P.R. Discussion Papers.
- Naritomi, Joana, 2019. "Consumers as tax auditors," LSE Research Online Documents on Economics 101538, London School of Economics and Political Science, LSE Library.
- Aguirre, Carlos A. & Shome, Parthasarathi, 1988. "The Mexican Value-Added Tax (VAT): Methodology for Calculating the Base," National Tax Journal, National Tax Association, vol. 41(4), pages 543-54, December.
- Kent Matthews, 2003. "VAT Evasion and VAT Avoidance: Is there a European Laffer curve for VAT?," International Review of Applied Economics, Taylor & Francis Journals, vol. 17(1), pages 105-114.
- DAS-GUPTA Arindam & B. ESTRADA Gemma & PARK Donghyun, 2016.
"Measuring Tax Administration Effectiveness and its Impact on Tax Revenue,"
Working Papers
DP-2016-17, Economic Research Institute for ASEAN and East Asia (ERIA).
- Arindam Das-Gupta & Gemma B. Estrada & Donghyun Park, 2016. "Measuring Tax Administration Effectiveness and its Impact on Tax Revenue," Economic Growth Centre Working Paper Series 1601, Nanyang Technological University, School of Social Sciences, Economic Growth Centre.
- Henrik Jacobsen Kleven & Martin B. Knudsen & Claus Thustrup Kreiner & Søren Pedersen & Emmanuel Saez, 2011. "Unwilling or Unable to Cheat? Evidence From a Tax Audit Experiment in Denmark," Econometrica, Econometric Society, vol. 79(3), pages 651-692, May.
- Allingham, Michael G. & Sandmo, Agnar, 1972. "Income tax evasion: a theoretical analysis," Journal of Public Economics, Elsevier, vol. 1(3-4), pages 323-338, November.
- Keen, Michael & Smith, Stephen, 2006.
"VAT Fraud and Evasion: What Do We Know and What Can Be Done?,"
National Tax Journal, National Tax Association;National Tax Journal, vol. 59(4), pages 861-887, December.
- Mr. Stephen C. Smith & Mr. Michael Keen, 2007. "VAT Fraud and Evasion: What Do We Know, and What Can be Done?," IMF Working Papers 2007/031, International Monetary Fund.
- Alm, James & McKee, Michael, 2004. "Tax compliance as a coordination game," Journal of Economic Behavior & Organization, Elsevier, vol. 54(3), pages 297-312, July.
Most related items
These are the items that most often cite the same works as this one and are cited by the same works as this one.- Antonio Gómez Gómez-Plana & Pedro Pascual Arzoz, 2011. "Fraude fiscal e IVA en España: incidencia en un modelo de equilibrio general," Hacienda Pública Española / Review of Public Economics, IEF, vol. 199(4), pages 9-52, December.
- Iswahyudi, Heru, 2018. "Where has the money gone?: The case of Value Added Tax revenue performance in Indonesia," MPRA Paper 89876, University Library of Munich, Germany.
- M. Martin Boyer & Philippe d'Astous, 2023. "Tax compliance and firm response to electronic sales monitoring," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 56(4), pages 1430-1468, November.
- James Alm, 2019.
"What Motivates Tax Compliance?,"
Journal of Economic Surveys, Wiley Blackwell, vol. 33(2), pages 353-388, April.
- James Alm, 2019. "What Motivates Tax Compliance," Working Papers 1903, Tulane University, Department of Economics.
- Robina Ather Ahmed & Mark Rider, 2008. "Pakistan’s Tax Gap: Estimates By Tax Calculation and Methodology," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0811, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
- Garriga, Pablo & Tortarolo, Dario, 2024.
"Firms as tax collectors,"
Journal of Public Economics, Elsevier, vol. 233(C).
- Dario Tortarolo & Pablo Garriga, 2022. "Firms as tax collectors," IFS Working Papers W22/44, Institute for Fiscal Studies.
- Leopoldo Fergusson & Carlos Molina & Juan Felipe Riaño, 2019.
"Consumers as VAT “Evaders”: Incidence, Social Bias, and Correlates in Colombia,"
Economía Journal, The Latin American and Caribbean Economic Association - LACEA, vol. 0(Spring 20), pages 21-67, April.
- Leopoldo Fergusson & Carlos Molina & Juan Felipe Riaño, 2017. "I evade taxes, and so what? A new database and evidence from Colombia," Documentos CEDE 15444, Universidad de los Andes, Facultad de Economía, CEDE.
- Fergusson, Leopoldo & Molina, Carlos & Riaño, Juan Felipe, 2019. "Consumers as VAT "evaders": incidence, social bias, and correlates in Colombia," LSE Research Online Documents on Economics 123049, London School of Economics and Political Science, LSE Library.
- Konda, Laura & Patel, Elena & Seegert, Nathan, 2022. "Tax enforcement and the intended and unintended consequences of information disclosure," Journal of Public Economics, Elsevier, vol. 212(C).
- Joana Naritomi, 2019.
"Consumers as Tax Auditors,"
American Economic Review, American Economic Association, vol. 109(9), pages 3031-3072, September.
- Naritomi, Joana, 2018. "Consumers as Tax Auditors," CEPR Discussion Papers 13276, C.E.P.R. Discussion Papers.
- Naritomi, Joana, 2019. "Consumers as tax auditors," LSE Research Online Documents on Economics 101538, London School of Economics and Political Science, LSE Library.
- Hashimzade, Nigar & Huang, Zhanyi & Myles, Gareth D., 2010. "Tax fraud by firms and optimal auditing," International Review of Law and Economics, Elsevier, vol. 30(1), pages 10-17, March.
- Chen, Shawn Xiaoguang, 2017.
"The effect of a fiscal squeeze on tax enforcement: Evidence from a natural experiment in China,"
Journal of Public Economics, Elsevier, vol. 147(C), pages 62-76.
- Shawn Chen, 2015. "The Efect Of A Fiscal Squeeze On Tax Enforcement:Evidence From A Natural Experiment In China," Economics Discussion / Working Papers 15-27, The University of Western Australia, Department of Economics.
- James Alm & Matthias Kasper, 2020. "Laboratory Experiments," Working Papers 2008, Tulane University, Department of Economics.
- Lovemore George Mwanandi, 2020. "Impact of Auditing on VAT Compliance: A case study of small VAT operators in Blantyre City of Malawi," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 4(11), pages 326-343, November.
- Fjeldstad, Odd-Helge & Kagoma, Cecilia & Mdee, Ephraim & Sjursen, Ingrid Hoem & Somville, Vincent, 2020. "The customer is king: Evidence on VAT compliance in Tanzania," World Development, Elsevier, vol. 128(C).
- Asatryan, Zareh & Gomtsyan, David, 2020.
"The incidence of VAT evasion,"
ZEW Discussion Papers
20-027, ZEW - Leibniz Centre for European Economic Research.
- Zareh Asatryan & David Gomtsyan, 2020. "The Incidence of VAT Evasion," CESifo Working Paper Series 8666, CESifo.
- Jianjun Li & Xuan Wang, 2020. "Does VAT have higher tax compliance than a turnover tax? Evidence from China," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 27(2), pages 280-311, April.
- Michael Carlos Best & Anne Brockmeyer & Henrik Jacobsen Kleven & Johannes Spinnewijn & Mazhar Waseem, 2015.
"Production versus Revenue Efficiency with Limited Tax Capacity: Theory and Evidence from Pakistan,"
Journal of Political Economy, University of Chicago Press, vol. 123(6), pages 1311-1355.
- Best, Michael Carlos & Brockmeyer, Anne & Kleven, Henrik Jacobsen & Spinnewijn, Johannes & Waseem, Mazhar, 2015. "Production versus revenue efficiency with limited tax capacity: theory and evidence from Pakistan," LSE Research Online Documents on Economics 64916, London School of Economics and Political Science, LSE Library.
- Phillips, Mark D., 2014. "Deterrence vs. gamesmanship: Taxpayer response to targeted audits and endogenous penalties," Journal of Economic Behavior & Organization, Elsevier, vol. 100(C), pages 81-98.
- Tan, Fangfang & Yim, Andrew, 2014.
"Can strategic uncertainty help deter tax evasion? An experiment on auditing rules,"
Journal of Economic Psychology, Elsevier, vol. 40(C), pages 161-174.
- Fangfang Tan & Andrew Yim, 2011. "Can Strategic Uncertainty Help Deter Tax Evasion? – An Experiment on Auditing Rules," Working Papers can_strategic_uncertainty, Max Planck Institute for Tax Law and Public Finance.
- Youngrok Kim & Hongyu Wan & Minjo Kang, 2022. "Card or cash? Evidence regarding consumers' cooperative value‐added tax compliance," Asian Economic Journal, East Asian Economic Association, vol. 36(3), pages 337-359, September.
More about this item
Keywords
Value Added Tax; Tax evasion; Tax enforcement; Computable general equilibrium; Macroeconomic outlook;All these keywords.
JEL classification:
- H26 - Public Economics - - Taxation, Subsidies, and Revenue - - - Tax Evasion and Avoidance
- C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
Statistics
Access and download statisticsCorrections
All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:iecepo:v:19:y:2022:i:3:d:10.1007_s10368-022-00530-z. See general information about how to correct material in RePEc.
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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .
Please note that corrections may take a couple of weeks to filter through the various RePEc services.