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Corruption and tax compliance: Evidence from small retailers in Bamako, Mali

Author

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  • Arnaud Bourgain

    (CREA, Université du Luxembourg)

  • Luisito Bertinelli

    (CREA, Université du Luxembourg)

  • Florian Leon

    (CREA, Université du Luxembourg)

Abstract

We investigate the impact of corruption on tax compliance using a sample of 700 small business in Bamako, Mali. Our results show that paying bribes reduced tax compliance by almost ten percentage points.

Suggested Citation

  • Arnaud Bourgain & Luisito Bertinelli & Florian Leon, 2018. "Corruption and tax compliance: Evidence from small retailers in Bamako, Mali," DEM Discussion Paper Series 18-18, Department of Economics at the University of Luxembourg.
    • Handle: RePEc:luc:wpaper:18-18
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    Cited by:

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    2. Adamu Jibir & Musa Abdu & Tasiu Muhammad, 2020. "Analysis of Tax Compliance in Sub-Saharan Africa: Evidence from Firm-Level Study," Econometric Research in Finance, SGH Warsaw School of Economics, Collegium of Economic Analysis, vol. 5(2), pages 119-142, December.
    3. Azra Khan & Sadia Safdar & Nazima Elahi, 2021. "An Evaluation Of The Impact Of Corruption On Tax Morale And Taxation In Pakistan," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 10(3), pages 259-272.
    4. Tom Moerenhout & Joonseok Yang, 2022. "Tax Evasion Attitudes of Small Firms in Low‐ and Middle‐income Countries: Evidence from Nigeria," Development Policy Review, Overseas Development Institute, vol. 40(6), November.
    5. Viljar Haavik & Abdoul Wahab Cissé, 2024. "Taxing the informal sector: Coping with Coercion in Bamako, Mali," Development Policy Review, Overseas Development Institute, vol. 42(4), July.
    6. Halil D. Kaya, 2023. "The Global Crisis, Retailers, Taxes And Regulations," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 4, pages 92-97, August.

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    More about this item

    Keywords

    Tax compliance; Corruption; Informal sector; Micro-enterprises; Africa; Mali;
    All these keywords.

    JEL classification:

    • H26 - Public Economics - - Taxation, Subsidies, and Revenue - - - Tax Evasion and Avoidance
    • H32 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Firm
    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption

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