IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this paper

Evaluation of firms dissimulated activity based on fiscal audits and integration in national accounts

Listed author(s):


Registered author(s):

    The measurement of the hidden economy is necessary to ensure exhaustiveness of Gross Domestic Product and thus be able to conduct comparisons between countries. The part of firms activity that is not declared to tax authorities inevitably evades statistical observation. In France, it is possible to evaluate this hidden activity by means of fiscal audits, during which concealed profits may be unveiled. By incorporating a fiscal audit sample into a survey, this type of fraud can then be extrapolated to the whole field. For every category of taxpayer, inclusion probabilities have been estimated with logistic models, making use of categorical predictor variables, like size or activity sector. The more significant of those variables have been used next to define a post-stratification upon which is based the macroeconomic evaluation of the dissimulated aggregates. This extrapolation method takes into account the overrepresentation of the firms that are supposed to conceal the biggest amounts of taxes. In particular, financial indicators have been introduced in the stratification to improve the modeling of this overrepresentation and they lead to a marked decrease in the estimation of the hidden production. The aim was to rectify National Accounts output and value-added. Among the fiscal rectifications, only those that dealt with the real flows of the firms book-keeping were taken into account. Moreover, when the available rectifications were concerned with taxes, it was necessary to go back to the corresponding taxable amount. This procedure is the main weakness of the fiscal information processing. Applied to 2006 turnover, the fraud rates finally obtained led to a 40 billion euro rise in the level of national value-added, that is to say a 2.2 % adjustment of GDP.

    If 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.

    File URL:
    File Function: Document de travail de la DESE numéro G2011-09
    Download Restriction: no

    Paper provided by Institut National de la Statistique et des Etudes Economiques, DESE in its series Documents de Travail de la DESE - Working Papers of the DESE with number g2011-09.

    in new window

    Date of creation: 2011
    Handle: RePEc:crs:wpdeee:g2011-09
    Contact details of provider: Postal:
    15 Boulevard Gabriel Peri 92244 Malakoff Cedex

    Phone: 01 41 17 50 50
    Web page:

    More information through EDIRC

    No references listed on IDEAS
    You can help add them by filling out this form.

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:crs:wpdeee:g2011-09. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (D3E)

    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.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.