THE INDIVIDUAL TAXPAYER UTILITY FUNCTION WITH TAX OPTIMIZATION AND FISCAL FRAUD ENVIRONMENT

Paweł Pankiewicz
Additional contact information
Paweł Pankiewicz: University of Economics in Krakow

Financial Internet Quarterly, 2011, vol. 7, issue 3, 52-58

Abstract: In this paper I examine a taxpayer utility function determined by the extended set of variables – i.e. consumption, labor and tax-evasion propensity. This constitutes the main framework for the analysis of taxpayer’s decision making process under assumption that in the economy there exist two main reduction methods: a) access to tax optimization techniques, which may decrease effective tax burden and are fully compliant with binding laws, but generate transactional costs and 2) possibility of fiscal fraud – in particular tax evasion, as the alternative method of reducing tax due, which has no direct transactional costs, but involves tax litigation risk.

Keywords: taxation theory; taxpayer utility; tax evasion (search for similar items in EconPapers)
Date: 2011
References: Add references at CitEc
Citations:

Downloads: (external link)
https://journals.wsiz.edu.pl/fiq/article/view/856 Abstract page (text/html)
https://journals.wsiz.edu.pl/fiq/article/download/856/812 Full text (application/pdf)

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:wsz:fiq000:v:7:y:2011:i:3:id:856

DOI: 10.65748/fiqf-2011-0018

Access Statistics for this article

More articles in Financial Internet Quarterly from University of Information Technology and Management in Rzeszów
Bibliographic data for series maintained by Wiesław Stręciwilk ().