The use of leaked data is becoming increasingly common in empirical research. The authors discuss the ethical, legal, and privacy hurdles these projects face and offer a practical roadmap for researchers seeking to enter the field.
Recently published in @itaxjournal.bsky.social "Safely opening Pandora’s box: a guide for researchers working with leaked data" by Annette Alstadsæter, Matthew Collin ( @mattcollin.bsky.social ) & Andreas Økland (@andokl.bsky.social)
Available at: rdcu.be/eZfQl
Fiscal competition for FDI is often viewed as harmful and criticized as a “race to the bottom.” This study shows that, under sufficient economic integration, such competition can instead foster the development of transport infrastructure and lead to welfare improvements.
Recently published in @itaxjournal.bsky.social "Beneficial fiscal competition for foreign direct investment: transport infrastructure and economic integration" by Shigeo Morita & Hirofumi Okoshi
Available at: rdcu.be/eY6JW
Female representation in politics has real policy effects. In Italy, before the pandemic female mayors spent more on childcare than male ones. It took a major crisis for male mayors to close the gap, especially where schools closed longer and re-election incentives were stronger.
Recently published in @itaxjournal.bsky.social "Who cares about childcare? Covid-19 and gender differences in local public spending" Alda Marchese (@usiidep.bsky.social), @paolaprofeta.bsky.social (Bocconi University), Giulia Savio (University of Turin)
Available at: rdcu.be/eYVQm
Tax audits systematically increase firms' reported revenues, profits, and labor costs, thereby enhancing tax compliance and tax revenues. Bankruptcies rise among firms with detected tax deficits, indicating that audits help eliminate non-compliant firms from the market.
Recently published in @itaxjournal.bsky.social "Tax enforcement and firm performance: real and reporting responses to risk-based tax audits" by Jarkko Harju, Kaisa Kotakorpi, @tuomasmatikka.bsky.social & @annikanivala.bsky.social
Available at: rdcu.be/eYKVH
During COVID-19, in 2021, EU tax-benefit systems absorbed about 67% of income losses (ISC=67) on average. Income protection was very similar for employees and the self-employed on average, but much more heterogeneous for the self-employed across and within countries.
Recently published in @itaxjournal.bsky.social "The rising tide lifts all boats? Income support measures for employees and self-employed during the COVID-19 pandemic" by @chrimic1.bsky.social, @silviadepoli.bsky.social & Viginta Ivaškaitė‑Tamošiūnė
Available at: rdcu.be/eYmdR
Does mayors’ expertise affect their performance? Using RD estimations for close mixed-background races in 1,933 mayor elections in Hesse, the paper shows that public administrator mayors attract more investment grants than other mayors when aligned with the council.
Recently published in @itaxjournal.bsky.social "Public administrators as politicians in office" by Zohal Hessami @zohalhessami.bsky.social, Timo Häcker & Maximilian Thomas
Available at: rdcu.be/eYdMe
Tax lotteries incentivize consumers to ask for receipts, but effectiveness depends on design. Prizes are skewed toward high-income taxpayers, business owners, and the self-employed, driven by greater transaction volumes. These groups alter their behavior the least after winning.
Recently published in @itaxjournal.bsky.social "Characteristics and responses of winners in the Greek tax lottery" by Panayiotis Nicolaides
Available at: rdcu.be/eJnj8
Simulations of a common unemployment benefit system across European countries indicate that a common replacement rate, paired with country-specific floors and ceilings, reduces poverty while keeping labour supply responses and budgetary costs modest.
Recently published in @itaxjournal.bsky.social "The impact of a European unemployment benefit scheme on labour supply and income distribution" by Mathieu Lefebvre & Agathe Simon
Available at: rdcu.be/eJaAZ
Uganda’s 2012–13 tax reform increased revenue and modestly reduced inequality. Reported incomes of most top 1% stayed unchanged, though high earners in small firms reduced their incomes, with some employers shifting wages into dividends to lower tax.
Recently published in @itaxjournal.bsky.social
"Taxpayer response to greater progressivity: evidence from personal income tax reform in Uganda" by Maria Jouste, Tina Kaidu Barugahara, Joseph Ayo Okello, Jukka Pirttilä & Pia Rattenhuber
Available at: rdcu.be/eI3rM
In China, many firms evade social insurance payments. The Golden Tax Project Phase III (GTPIII) — a digital tax upgrade — helped boost companies’ participation and payment rates by improving data sharing and closing loopholes. Gains were biggest among small, low-profit firms.
Recently published in @itaxjournal.bsky.social
"Digitalization of tax collection and enterprises’ social security compliance" by Changlin Yu & Yanming Li
Available at: rdcu.be/eITit
Bastani's new paper provides a guide to the Marginal Value of Public Funds (MVPF), bridging theory and practice, and showing how to translate tax elasticities into welfare conclusions. It reorients the discussion, shifting focus from public spending to tax policy.
Recently published in @itaxjournal.bsky.social
"The marginal value of public funds: a brief guide and application to tax policy" by Spencer Bastani
Available at: rdcu.be/eIl3e
Wealth surveys suffer from the 'missing rich' problem. This paper proposes a new method to improve representativeness by calibrating the survey’s income distribution using income tax data.
Recently published in @itaxjournal.bsky.social
"Wealth survey calibration using income tax data" by Daniel Kolář
Available at: rdcu.be/evkMu
Donald Trump killed the OECD’s 2-Pillar reform of international corporate taxation. The Achilles heel of Pillar 1 has been the need for a Multinational Tax Convention. Instead, the reform this paper proposes extends Article 12B of the UN Model Tax Convention.
Recently published in @itaxjournal.bsky.social
"Residual profit splitting: a theory-based approach to tax multinationals" by Wolfram F. Richter
Available at: rdcu.be/euxad
Pillar 1 Amount A reallocates taxing rights on the largest/most profitable MNEs based on final consumers' location. In 2022, it would yield €10.9B. High-income countries gain the most while tax havens bear the brunt of the cost. Net benefits compared to DSTs are ambiguous.
Recently published in @itaxjournal.bsky.social
"Tax revenue from Pillar One Amount A: country-by-country estimates" Mona Barake & Elvin Le Pouhaër
Available at: rdcu.be/eujVD
We show how marital sorting in Switzerland offsets parts of the tax system’s redistributive effect - intensifying income inequality.