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Household Tax Compliance and the Shadow Economy in Central and Southeastern Europe

Author

Listed:
  • Edward Christie
  • Mario Holzner

    (The Vienna Institute for International Economic Studies, wiiw)

Abstract

This paper presents and applies a new indicator of the size of the shadow economy based on the estimation of tax compliance in the household sector. These estimates are performed for the countries of Central, Eastern and Southeastern Europe using 2001 data. Estimates of income declaration rates and of corresponding undeclared household income are computed using household consumption data as well as detailed data on household taxation. Specific aspects such as remittances, the role of agriculture and the impact of tourism are explicitly taken into account and discussed.

Suggested Citation

  • Edward Christie & Mario Holzner, 2004. "Household Tax Compliance and the Shadow Economy in Central and Southeastern Europe," wiiw Balkan Observatory Working Papers 38, The Vienna Institute for International Economic Studies, wiiw.
    • Handle: RePEc:wii:bpaper:038
    as

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    References listed on IDEAS

    as
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    7. Lorenz Jarass & Gustav M. Obermair, 2000. "Taxation Systems in Estonia, Poland, Hungary, the Czech Republic and Slovenia," Taxation Studies 0004, Directorate General Taxation and Customs Union, European Commission.
    8. Friedrich Schneider, 2003. "The Development of the Shadow Economies and Shadow Labour Force of 21 OECD and 22 Transition Countries," ifo DICE Report, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 1(1), pages 17-23, 02.
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    12. Kaufmann, Daniel & Kaliberda, Aleksander, 1996. "Integrating the unofficial economy into the dynamics of post-socialist economies : a framework of analysis and evidence," Policy Research Working Paper Series 1691, The World Bank.
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    Cited by:

    1. Friedrich Schneider & Gorana Krstić & Milojko Arsić & Saša Ranđelović, 2015. "What Is the Extent of the Shadow Economy in Serbia?," Contributions to Economics, in: Gorana Krstić & Friedrich Schneider (ed.), Formalizing the Shadow Economy in Serbia, edition 127, chapter 0, pages 47-75, Springer.
    2. Vasily Astrov & Edward Christie & Vladimir Gligorov & Mario Holzner, 2004. "Monthly Report 5/2004," wiiw Monthly Reports 2004-05, The Vienna Institute for International Economic Studies, wiiw.
    3. Krstic, Gorana & Sanfey, Peter, 2007. "Mobility, poverty and well-being among the informally employed in Bosnia and Herzegovina," Economic Systems, Elsevier, vol. 31(3), pages 311-335, September.
    4. Mária Lackó, 2004. "Tax Rates and Corruption: Labour-market and Fiscal Effects. Empirical cross-country comparisons on OECD and transition countries," wiiw Research Reports 309, The Vienna Institute for International Economic Studies, wiiw.
    5. Will Bartlett, 2009. "Economic Development In The European Super-Periphery: Evidence From The Western Balkans," Economic Annals, Faculty of Economics and Business, University of Belgrade, vol. 54(181), pages 21-44, April – J.
    6. Feige, Edgar L., 2016. "Professor Schneider's Shadow Economy:What do we really know? A Rejoinder," MPRA Paper 71903, University Library of Munich, Germany.
    7. Edward Christie, 2004. "Trade Flows in Southeast Europe," wiiw Balkan Observatory Working Papers 59, The Vienna Institute for International Economic Studies, wiiw.
    8. Gorana Krstić & Peter Sanfey, 2008. "Earnings Inequality and the Informal Economy: Evidence from Serbia," wiiw Balkan Observatory Working Papers 75, The Vienna Institute for International Economic Studies, wiiw.

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