The traditional economic approach to enforce tax compliance rests on the assumption that taxpayers are reluctant to pay their share, are inclined to maximize their egoistic goals by rationally considering audit probability and fines in case of detected evasion, and comply only if enforced to...

Tax administrations increasingly use audits via mail (correspondence audits) to audit taxpayers. Correspondence audits are cheaper than face-to-face audits but their effects on compliance are unclear. We investigate the effects of correspondence and face-to-face audits on post-audit tax...