This paper examines whether improvements in a firm's tax system impose positive spillover effects on its accounting system and accounting information quality. Using China's 2014 Tax-paying Credit Rating system, we find that A-rated firms exhibit lower discretionary accruals and improved...

Earlier studies have assumed the effect of tax systems on poverty and inequality to be symmetric by imposing linear specifications. In this study, we account for possible asymmetries by re-examining the effect of tax systems on poverty and inequality in Ghana. We rely on the Nonlinear...

Dual-regime business tax systems typically subject smaller firms to an output (turnover) tax and larger firms to a profit (corporate) tax. Despite their prevalence, there is little formal analysis of their optimal design. This paper addresses this gap by developing a theoretical framework to...

This paper evaluates the redistributive and labour supply effects of transitioning from a joint to a fully individualised income tax system in Ireland. The current Irish tax system, which remains partially joint since the early 2000's, provides a financial advantage to married couples by...

This study examines the effect of tax complexity on the market value of publicly traded firms. Using firm-level measures of tax complexity, we find that a one standard deviation increase in tax complexity-comparable in magnitude to the rise following the U.S. Tax Cuts and Jobs Act-is associated...

Effective policymakers must balance the demands of formulating a corporate tax system that raises revenue and spurs economic activity (e.g., investment) while promoting a "level playing field" across firms. Balancing these tradeoffs has likely caused tax systems to become more complex over time,...

We examine behavioral frictions in entrepreneurs' tax planning when choosing between corporate and partnership taxation under a check-the-box rule. Using German tax return data, we show that only a small fraction of entrepreneurs opt for corporate taxation, despite substantial potential tax...

This Flash Eurobarometer investigates EU citizens' attitudes and preferences towards taxation and tax policy. It examines key themes, such as EU citizens' perception of the desired tax mix - that is, the adequate balance between different types of taxes like income, consumption taxes (e.g. VAT),...

This Flash Eurobarometer investigates EU citizens' attitudes and preferences towards taxation and tax policy. It examines key themes, such as EU citizens' perception of the desired tax mix - that is, the adequate balance between different types of taxes like income, consumption taxes (e.g. VAT),...

The aim of this paper is to provide a legal documentation that is conducted under a thorough review of tax legislation and create a dataset, consisting of 120 laws that brought significant changes in the vast majority of categories of taxes in Greece from 1974 to 2018. It is noteworthy that a...

Countries differ in their approaches to the treatment of tax claims in insolvency. Historically, most countries have granted priority to tax claims. In the late 20th century, however, some countries abolished or reduced tax priorities at the same time that sweeping insolvency reforms were...

The 2025 Annual Report on Taxation (ART) describes the state of play of taxation in the European Union (EU) Member States. The report starts with providing the macroeconomic outlook and the challenges posed by an ageing population. Then it assesses recent developments of the tax mix to inform...

This study explores the short-term welfare and distributive effects of selected fuel tax and subsidy reforms in six countries in the Latin America and Caribbean (LAC) region that are aimed at promoting the transformation of energy systems and have the potential to generate much-needed fiscal...

Bellicose theories of state-building suggest that wars enable the emergence of strong states via the mechanism of increased war-time fiscal capacities. We explore the hitherto littleanalysed micro-level foundations of this claim. Does the experience of war increase public support for higher...

This paper presents evidence of market externalities of tax evasion: firms' tax non-compliance distorts the outcomes of their competitors. Using novel administrative data on the universe of Italian firms, we compute a tax evasion proxy as the fraction of individual firms that manipulate their...

The 2025 Annual Report on Taxation (ART) describes the state of play of taxation in the European Union (EU) Member States. The report starts with providing the macroeconomic outlook and the challenges posed by an ageing population. Then it assesses recent developments of the tax mix to inform...

This paper aims to assess the extent to which cash transfers, direct taxes, and social contributions help to reduce gender income inequalities in seven Latin American countries: Argentina, Bolivia, Colombia, Ecuador, Mexico, Peru, and Uruguay. We apply microsimulation techniques to household...

Although reassignment of policy instruments among governments in many federations is a recurring event, there is no widely accepted, positive model of the phenomenon. This stands in contrast to the well established body of work on the normative theory of the efficient federal assignment. In this...

This paper reveals how tax complexity, in the form of loopholes and assets overlapping different sections of tax returns, contributes to tax avoidance and evasion. Using administrative data from the Netherlands, it shows how an auditing announcement in 2005 triggered large increases in declared...

This paper estimates the tax capacity and tax effort of the nine provinces in South Africa, allowing for the assessment of the revenue-mobilizing ability of provinces and overall tax system efficiency. Provincial tax capacity and effort is estimated via a stochastic frontier approach using the...

We study how individuals adjust their labor supply in response to tax reforms that alter income tax progressivity. In an online experiment with 522 participants, we compare responses to reforms that replace a progressive tax system with a flat tax and vice versa. We find asymmetric effects:...

This paper examines income tax systems in over thirty countries over the past forty years using microdata from the Luxembourg Income Study. We show that income tax systems worldwide are well approximated by a two-parameter log-linear effective tax function. We provide country- and year-specific...

Can the exposure to civil war make people more motivated to pay taxes and (re)build the state? Our project examines this question in the context of Africa, a region where civil wars have frequently undermined state capacity. We move from the popular Tillian view of war-making as state-making to...

This study examines the compliance costs of OECD Pillar Two, i.e., the “Global Minimum Tax,” for multinational enterprises headquartered in the European Union. Collecting data from chief financial officers and heads of finance or tax departments, we estimate compliance cost determinants and...

This article describes ZEW-EviSTA®, the microsimulation model developed and used at ZEW - Centre for European Economic Research in Mannheim. The model simulates the German tax and transfer system using household micro level data. By estimating fiscal effects, labor market outcomes as well as...

The article aims to compare the Member States of the European Union in the field of social insurance over the selected period. In this context, it is necessary to identify the trend of changes in the period 2007–2019. The article answers two questions. First, whether there is a growth in the...

This paper presents knowledge collaboration among tax professionals in a tax-knowledge context within Malaysian accounting associations through the conceptual lens of a community of practice. Semi-structured in-depth interviews were conducted with a total of 29 tax professionals. Additionally,...