We study the effect of social pressure on tax compliance, focusing on the compliance of shop sellers to the legal obligation of releasing tax receipts for each sale. We carry out a field experiment on bakeries in Italy, where a strong gap exists between the legal obligation and the actual behavior of sellers. Social pressure is manipulated by means of an explicit request for a receipt when not released. We employ an innovative approach to the identification of the treatment effect. We find that a single request for a receipt causes a 17 per cent rise in the probability of a receipt being released for a sale occurring shortly thereafter, causing on average more than two receipts to be released. We also find strong evidence of persistence in compliance decisions.

Battiston, P., Gamba, S. (2016). The impact of social pressure on tax compliance: A field experiment. INTERNATIONAL REVIEW OF LAW AND ECONOMICS, 46, 78-85 [10.1016/j.irle.2016.03.001].

The impact of social pressure on tax compliance: A field experiment

Battiston, P
;
2016

Abstract

We study the effect of social pressure on tax compliance, focusing on the compliance of shop sellers to the legal obligation of releasing tax receipts for each sale. We carry out a field experiment on bakeries in Italy, where a strong gap exists between the legal obligation and the actual behavior of sellers. Social pressure is manipulated by means of an explicit request for a receipt when not released. We employ an innovative approach to the identification of the treatment effect. We find that a single request for a receipt causes a 17 per cent rise in the probability of a receipt being released for a sale occurring shortly thereafter, causing on average more than two receipts to be released. We also find strong evidence of persistence in compliance decisions.
Articolo in rivista - Articolo scientifico
Field experiment; Peer pressure; Social pressure; Tax evasion;
Field experiment; Peer pressure; Social pressure; Tax evasion; Finance; Economics and Econometrics; Law
English
2016
46
78
85
reserved
Battiston, P., Gamba, S. (2016). The impact of social pressure on tax compliance: A field experiment. INTERNATIONAL REVIEW OF LAW AND ECONOMICS, 46, 78-85 [10.1016/j.irle.2016.03.001].
File in questo prodotto:
File Dimensione Formato  
The impact of social pressure on tax compliance: A field experiment.pdf

Solo gestori archivio

Tipologia di allegato: Publisher’s Version (Version of Record, VoR)
Dimensione 641.78 kB
Formato Adobe PDF
641.78 kB Adobe PDF   Visualizza/Apri   Richiedi una copia

I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.

Utilizza questo identificativo per citare o creare un link a questo documento: https://hdl.handle.net/10281/211128
Citazioni
  • Scopus 15
  • ???jsp.display-item.citation.isi??? 15
Social impact