Working Paper

Improving Tax Compliance without Increasing Revenue : Evidence from Population-Wide Randomized Controlled Trials in Papua New Guinea

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collection.link.5
https://openknowledge.worldbank.org/handle/10986/9
collection.name.5
Policy Research Working Papers
dc.contributor.author
Hoy, Christopher
dc.contributor.author
McKenzie, Luke
dc.contributor.author
Sinning, Mathias
dc.date.accessioned
2021-02-11T17:47:55Z
dc.date.available
2021-02-11T17:47:55Z
dc.date.issued
2021-02
dc.date.lastModified
2022-08-10T00:10:11Z
dc.description.abstract
This paper studies the impact of “nudges” on taxpayers with varying tax compliance histories in Papua New Guinea. It presents the results from two population-wide randomized controlled trials in a setting that is characterized by low compliance rates and a lack of effective enforcement. The study tests the impact of text messages, flyers, and emails that remind taxpayers of declaration due dates and provide information about the public benefits of paying tax. The findings show that the treatments increased the number of tax declarations filed without increasing the amount of tax paid because the taxpayers who responded to the nudges were largely exempt from paying tax. This result is consistent across tax types, communication channels, and time periods. The findings also show that the treatments had no impact on previously non-filing taxpayers. Collectively, the results illustrate that taxpayers who face the lowest cost from complying are the most likely to respond to a nudge.
en
dc.identifier
http://documents.worldbank.org/curated/en/481521612810264789/Improving-Tax-Compliance-without-Increasing-Revenue-Evidence-from-Population-Wide-Randomized-Controlled-Trials-in-Papua-New-Guinea
dc.identifier.uri
http://hdl.handle.net/10986/35131
dc.language
English
dc.publisher
World Bank, Washington, DC
dc.relation.ispartofseries
Policy Research Working Paper;No. 9539
dc.rights
CC BY 3.0 IGO
dc.rights.holder
World Bank
dc.rights.uri
http://creativecommons.org/licenses/by/3.0/igo
dc.subject
TAX COMPLIANCE
dc.subject
TAX EVASION
dc.subject
FIELD EXPERIMENT
dc.subject
BEHAVIORAL ECONOMICS
dc.subject
REVENUE MOBILIZATION
dc.title
Improving Tax Compliance without Increasing Revenue
en
dc.title.subtitle
Evidence from Population-Wide Randomized Controlled Trials in Papua New Guinea
en
dc.type
Working Paper
en
okr.date.disclosure
2021-02-08
okr.doctype
Publications & Research
okr.doctype
Publications & Research :: Policy Research Working Paper
okr.docurl
http://documents.worldbank.org/curated/en/481521612810264789/Improving-Tax-Compliance-without-Increasing-Revenue-Evidence-from-Population-Wide-Randomized-Controlled-Trials-in-Papua-New-Guinea
okr.googlescholar.linkpresent
yes
okr.identifier.doi
10.1596/1813-9450-9539
okr.identifier.externaldocumentum
090224b08828aa91_1_0
okr.identifier.internaldocumentum
32815866
okr.identifier.report
WPS9539
okr.imported
true
en
okr.language.supported
en
okr.pdfurl
http://documents.worldbank.org/curated/en/481521612810264789/pdf/Improving-Tax-Compliance-without-Increasing-Revenue-Evidence-from-Population-Wide-Randomized-Controlled-Trials-in-Papua-New-Guinea.pdf
en
okr.region.administrative
East Asia and Pacific
okr.region.country
Papua New Guinea
okr.statistics.combined
609
okr.statistics.dr
481521612810264789
okr.topic
Public Sector Development :: Tax Policy
okr.topic
Law and Development :: Tax Law
okr.topic
Social Development :: Psychology
okr.unit
Poverty and Equity Global Practice

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