Perceived tax evasion and the importance of trust

Hammar, Henrik; Jagers, Sverker C.; Nordblom, Katarina

doi:10.1016/j.socec.2008.07.003

Cited by 75 publications

(44 citation statements)

References 16 publications

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“…Thus, if people instead perceive that their fellow citizens are dishonest and they doubt that people will comply with the environmental tax, they will be less inclined to support it. We find certain support for this proposition in a study by Hammar, Jagers, and Nordblom [71], where it was found that people's propensity to accept increased taxes depends on the degree to which it is possible to escape them, indicating people's suspicion that others will defect. The more unavoidable taxes are (difficult to evade), the more willing people are to accept increases of them.…”

Section: Inter-personal Trust As a Determinant Of Policy Acceptancementioning

confidence: 52%

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Should We Trust in Values? Explaining Public Support for Pro-Environmental Taxes

2013

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Abstract:In this paper we are concerned with what explains public acceptance and support of environmental taxes. We examine findings in environmental psychology emphasizing that people's (environmental) value-orientation is the dominant driver determining individuals' support for pro-environmental policy instruments. We introduce a complementary model, mainly drawing upon findings in political science, suggesting that people's support for policy instruments is dependent on their level of political trust and their trust in other citizens. More specifically, we analyze whether political trust and interpersonal trust affect individuals' support for an increased carbon dioxide tax in Sweden, while checking their value orientation, self-interest, and various socio-economic values. We make use of survey data obtained from a mail questionnaire sent out to a random sample of 3,000 individuals in 2009. We find that apart from people's values, beliefs, and norms, both political trust and interpersonal trust have significant effects on people's attitudes toward an increased tax on carbon dioxide.

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Section: Inter-personal Trust As a Determinant Of Policy Acceptancementioning

confidence: 52%

“…with a 0-10 response scale. As a CO 2 tax is harder to evade than for example income tax, this can be considered as a tough test for the hypothesis that trust matters for tax acceptance [71].…”

Section: Data and Measurementmentioning

confidence: 99%

Should We Trust in Values? Explaining Public Support for Pro-Environmental Taxes

2013

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“…Several studies have analyzed the relationship between trust and tax compliance (Richardson, 2008;Hammar, Jagers, & Nordblom, 2009;Dijke & Verboon, 2010;Birskyte, 2015;Gangl, Hofmann, & Kirchler, 2015) and indicated that trust affects tax compliance. These studies partially test the effects of trust and power on tax compliance.…”

Section: |mentioning

confidence: 99%

Taxpayer Compliance, Trust, and Power

Damayanti

Martono

2018

Jurnal Keuangan Dan Perbankan

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Self-assessment system as adopted in Indonesia, focusing on taxpayer awareness. Therefore trust should be the spearhead of tax compliance rather than power. This study aims to examine how trust and power play a role in improving tax compliance by the slippery slope framework. Method of data collection in this research surveys in Central Java. The sampling technique is a multistage sampling that combines stratified random sampling and convenience sampling. Data has been collected from October 2015-April 2016, and 242 instruments were collected (86.4 percent response rate). By using multiple regression tests, the results of this study indicate that trust and power both simultaneously and partially affect tax compliance. Based on the coefficient different test, power has a greater impact than trust in creating tax compliance. This means that the compliance created in Indonesia is mandatory compliance that denies from self-assessment system that based on voluntary compliance. Keywords

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“…The greater the level of generalized trust in others, the more likely it is that people will pay tax (Scholz and Lubell, 1998). Trust in institutional conditions such as government and politics make a substantial contribution to establish tax morale and deter tax evasion (Scholz and Pinney, 1995;Torgler, 2003;Hammar et al, 2009). Trust and confidence in such institutions lead people to prefer the welfare state (Algan et al, 2011) and pay tax (Oh and Hong, 2012).…”

Section: Introductionmentioning

confidence: 99%

Trust in government and its effect on preferences for income redistribution and perceived tax burden

Yamamura

2013

Econ Gov

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This paper explores how a trust in government shared by neighbors is associated with individual preferences for income redistribution and individual perceptions regarding income tax burden. Three measures for trust in government are used:"trust in ministries and government agencies", "trust in diet members", and "trust in members of municipal councils". After controlling for individual characteristics, the key findings are: (1) people are more likely to express preferences for income redistribution when trust in government in their residential area is high; (2) people are more likely to perceive their tax burden as low when trust in government in their residential area is high; and (3) when the sample is divided into high-and low-income earners, these results are only clearly observed for high-income earners and not low-income earners.JEL classification: D30; D63, H20, Z13

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Perceived tax evasion and the importance of trust

Cited by 75 publications

References 16 publications

Should We Trust in Values? Explaining Public Support for Pro-Environmental Taxes

Should We Trust in Values? Explaining Public Support for Pro-Environmental Taxes

Taxpayer Compliance, Trust, and Power

Trust in government and its effect on preferences for income redistribution and perceived tax burden

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