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The difference in tax evasion amount among various taxpayers’ groups in Russia

Author

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  • Belev, Sergei

    (Russian Academy of National Economy and Public Administration; Gaidar Institute for economic policy; Moscow, Russian Federation;)

  • Vekerle, Konstantin

    (Russian Academy of National Economy and Public Administration; Moscow, Russian Federation)

  • Evdokimova, Anastasiia

    (Gaidar Institute for economic policy; Moscow, Russian Federation)

Abstract

This paper evaluates tax evasion in Russia through the estimation of individual “income-consumption” gap. Our analysis is held on the balanced in social-demographic characteristics subsample of the data of the RLMS of the Higher School of Economics. We reach this by using the combination of propensity score matching and exact matching. Given equal declared income consumption levels of self-employed and worker from small companies is, on average, higher than for workers from the big ones. This leads to the conclusion that former ones evade 13–31% of their actual income. This result is heterogeneous in year. During the economic slowdown, differences in concealment of income between self-employed and employees of small and large enterprises become insignificant.

Suggested Citation

  • Belev, Sergei & Vekerle, Konstantin & Evdokimova, Anastasiia, 2021. "The difference in tax evasion amount among various taxpayers’ groups in Russia," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 62, pages 66-84.
    • Handle: RePEc:ris:apltrx:0419
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    Cited by:

    1. Sergey G. Sinelnikov-Murylev & Nikolay S. Milogolov & Sergey G. Belev, 2022. "Налоговая Политика В Условиях Санкций," Russian Economic Development (in Russian), Gaidar Institute for Economic Policy, issue 9, pages 42-51, September.
    2. Sergey G. Sinelnikov-Murylev & Nikolay S. Milogolov & Sergey G. Belev, 2022. "Tax Policy under Sanctions [Налоговая Политика В Условиях Санкций]," Russian Economic Development, Gaidar Institute for Economic Policy, issue 9, pages 42-51, September.
    3. Aleksandra L. Osmolovskaya-Suslina & Sofiia R. Borisova, 2024. "Simplified Taxation System: First Estimates of 2024 Changes in Tax Legislation," Finansovyj žhurnal — Financial Journal, Financial Research Institute, Moscow 125375, Russia, issue 5, pages 97-108, October.

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    More about this item

    Keywords

    tax evasion; small business; self-employed; matching; permanent income.;
    All these keywords.

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • H27 - Public Economics - - Taxation, Subsidies, and Revenue - - - Other Sources of Revenue
    • H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household

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