Problems of corruption and tax evasion in construction sector in Belarus

Anastasiya Luzgina ()
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Anastasiya Luzgina: Belarusian Economic Research and Outreach Center, Belarus

Entrepreneurship and Sustainability Issues, 2017, vol. 5, issue 2, 263-282

Abstract: Construction sector is on of the most closed and corrupted sector in many countries. Belarus is no exception. For understanding the real situation with corruption and tax evasion in construction sector in Belarus the survey of 50 construction companies was done. According to achieved results, a large share of respondents agreed that some companies of the sector have hidden income, pay salaries “in envelopes” and spend some money for resolving problems with state institutions. At the same time construction enterprises that participated in tenders on municipal procurement underline many problems in this specific sphere. All these problems can be divided by administrative, economic and problems associated with the existence of corruption and the shadow economy. The most popular answers include corruption, unfair competition and imperfect legislation. On the base of international experience and the results of the survey we develop the list of recommendations for decreasing the level of corruption and tax evasion in construction sector that will support to create favorable environment for business development of the country.

Keywords: corruption; tax evasion; construction; shadow economy; municipal procurements (search for similar items in EconPapers)
JEL-codes: H26 H57 H83 (search for similar items in EconPapers)
Date: 2017
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Citations: View citations in EconPapers (4)

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Persistent link: https://EconPapers.repec.org/RePEc:ssi:jouesi:v:5:y:2017:i:2:p:263-282

DOI: 10.9770/jesi.2017.5.2(8)

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