Tax bribes are a very real part of the tax culture in transition countries. Economic transition, fiscal reforms, and efforts to strengthen tax administration are changing the tax cultures of transition countries, however. This paper examines firm-level survey data on the frequency of firms being...

This paper reports the first empirical evidence that fiscal reform efforts in transition countries have positive effects. Using the EBRD BEEPS I and II data, reported in 1999 and 2002, rigorous econometric models are estimated showing that the share of bribes paid to tax collectors is reduced in...