The importance of information for tax design: Evidence from the French wealth tax
Cătălin Roșioru
Many countries are considering introducing or reforming their wealth tax policies. This column studies the effects of a French wealth tax reform, which reduced reporting requirements, on taxpayer behaviour. The scaling back of reporting requirements had large negative effects on tax compliance, with 35% of wealth taxpayers missing in affected brackets and evading 10% of their total wealth tax payments each year. The findings indicate that taxpayers are more likely to under-report the value of
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