EconPapers    
Economics at your fingertips  
 

TAX MORALE AND SOCIAL BUSINESS IN MEXICO

Roberto Fuentes-Contreras (), Alejandro Mungaray-Lagarda () and Martin Ramirez-Urquidy ()
Additional contact information
Roberto Fuentes-Contreras: School of Economics and International Relations, Universidad Autónoma de Baja California, Calzada Tecnológico #14418, Colonia Mesa de Otay Tijuana, Baja California, Mexico 22390, Mexico
Alejandro Mungaray-Lagarda: School of Economics and International Relations, Universidad Autónoma de Baja California, Calzada Tecnológico #14418, Colonia Mesa de Otay Tijuana, Baja California, Mexico 22390, Mexico
Martin Ramirez-Urquidy: School of Economics and International Relations, Universidad Autónoma de Baja California, Calzada Tecnológico #14418, Colonia Mesa de Otay Tijuana, Baja California, Mexico 22390, Mexico

Journal of Developmental Entrepreneurship (JDE), 2020, vol. 25, issue 02, 1-10

Abstract: This research presents empirical results about the importance of tax morale in the probability of tax compliance in social businesses. It highlights the relevance of increasing the intrinsic value to the social business owner on paying taxes, instead of the traditional approach of increasing punishment, to reduce non-compliance. The paper suggests changing the focus question from “Why don’t they pay taxes?” to “Why, despite the low probability of being punished for not paying taxes, do some social business owners comply with their tax contribution?”. The main results of the research point out that factors such as public expenditure in economic development increases the probability of tax compliance in social businesses, whereas public expenditure in social programs decreases this probability.

Keywords: Fiscal compliance; informality; social business; tax morale (search for similar items in EconPapers)
Date: 2020
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.worldscientific.com/doi/abs/10.1142/S1084946720500119
Access to full text is restricted to subscribers

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wsi:jdexxx:v:25:y:2020:i:02:n:s1084946720500119

Ordering information: This journal article can be ordered from

DOI: 10.1142/S1084946720500119

Access Statistics for this article

Journal of Developmental Entrepreneurship (JDE) is currently edited by Peter Koveos

More articles in Journal of Developmental Entrepreneurship (JDE) from World Scientific Publishing Co. Pte. Ltd.
Bibliographic data for series maintained by Tai Tone Lim ().

 
Page updated 2025-03-20
Handle: RePEc:wsi:jdexxx:v:25:y:2020:i:02:n:s1084946720500119