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

dc.contributor.authorHoy, Christopher
dc.contributor.authormckenzie, Luke
dc.contributor.authorSinning, Mathias
dc.date.accessioned2024-09-05T23:34:40Z
dc.date.available2024-09-05T23:34:40Z
dc.date.issued2023
dc.date.updated2024-04-21T08:15:50Z
dc.description.abstractWe study the effect of "nudges" on taxpayers who have varying tax-compliance histories in Papua New Guinea. We present the results from two population-wide randomized controlled trials conducted in a setting that is characterized by low compliance rates and a lack of effective enforcement. We test the effect of text messages, flyers, and emails that remind taxpayers of declaration due dates and provide information about the public benefits of paying taxes. We find 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 reported a tax liability of zero. This result is consistent across tax types, communication channels, and time periods. We also find that the treatments had no effect on previously nonfiling taxpayers. Collectively, our results illustrate that taxpayers who face the lowest cost of compliance are the most likely to respond to a nudge.
dc.description.sponsorshipWe gratefully acknowledge financial support from the Australian Department of Foreign Affairs and Trade and the Australian Research Council(LP160100810).
dc.format.mimetypeapplication/pdfen_AU
dc.identifier.issn0013-0079
dc.identifier.urihttps://hdl.handle.net/1885/733716169
dc.language.isoen_AUen_AU
dc.provenancehttps://v2.sherpa.ac.uk/id/publication/3842..."The Published Version can be archived in a Non-Commercial Institutional Repository" from SHERPA/RoMEO site (as at 6/09/2024).
dc.publisherUniversity of Chicago Press
dc.relationhttp://purl.org/au-research/grants/arc/LP160100810
dc.rights© 2023 The University of Chicago
dc.rights.licenseCC BY-NC 4.0
dc.rights.urihttps://creativecommons.org/licenses/by-nc/4.0/
dc.sourceEconomic Development and Cultural Change
dc.titleImproving Tax Compliance without Increasing Revenue: Evidence from Population-Wide Randomized Controlled Trials in Papua New Guinea
dc.typeJournal article
dcterms.accessRightsOpen Access
local.bibliographicCitation.issue2
local.bibliographicCitation.lastpage723
local.bibliographicCitation.startpage691
local.contributor.affiliationHoy, Christopher, The World Bank
local.contributor.affiliationmckenzie, Luke, Australian Treasury
local.contributor.affiliationSinning, Mathias, College of Asia and the Pacific, ANU
local.contributor.authoremailu4579013@anu.edu.au
local.contributor.authoruidSinning, Mathias, u4579013
local.description.notesImported from ARIES
local.identifier.absfor440703 - Economic development policy
local.identifier.absfor380102 - Behavioural economics
local.identifier.ariespublicationa383154xPUB46765
local.identifier.citationvolume72
local.identifier.doi10.1086/721650
local.identifier.scopusID2-s2.0-85177554624
local.identifier.uidSubmittedBya383154
local.publisher.urlhttps://www.journals.uchicago.edu/
local.type.statusPublished Version
publicationvolume.volumeNumber72

Downloads

Original bundle

Now showing 1 - 1 of 1
Loading...
Thumbnail Image
Name:
721650.pdf
Size:
2.2 MB
Format:
Adobe Portable Document Format
Back to topicon-arrow-up-solid
 
APRU
IARU
 
edX
Group of Eight Member

Acknowledgement of Country

The Australian National University acknowledges, celebrates and pays our respects to the Ngunnawal and Ngambri people of the Canberra region and to all First Nations Australians on whose traditional lands we meet and work, and whose cultures are among the oldest continuing cultures in human history.


Contact ANUCopyrightDisclaimerPrivacyFreedom of Information

+61 2 6125 5111 The Australian National University, Canberra

TEQSA Provider ID: PRV12002 (Australian University) CRICOS Provider Code: 00120C ABN: 52 234 063 906