Taxpayer compliance under uncertainty

PJ Beck, WO Jung - Journal of Accounting and Public Policy, 1989 - Elsevier
The present study investigates taxpayers' economic incentives to comply under conditions of
uncertainty induced by tax law complexity and audit outcome uncertainty. In particular,
previous research is extended by modeling an environment in which taxpayers have
uncertainty about their tax liability and by simultaneously considering different tax rate
structures and risk-taking attitudes. The major theoretical finding is that greater tax liability
uncertainty creates incentives for taxpayers to increase reported income under certain …