Related papers: VAT Compliance Incentives

This paper presents a computational evolutionary game model to study and understand fraud dynamics in the consumption tax system. Players are cooperators if they correctly declare their value added tax (VAT), and are defectors otherwise.…

This paper presents a simple agent-based model of an economic system, populated by agents playing different games according to their different view about social cohesion and tax payment. After a first set of simulations, correctly…

Taxation constitutes a fundamental component of modern national economic systems, exerting profound impacts on both societal functioning and governmental operations. In this paper, we employ an interdependent network approach to model the…

We consider the problem of incentivising desirable behaviours in multi-agent systems by way of taxation schemes. Our study employs the concurrent games model: in this model, each agent is primarily motivated to seek the satisfaction of a…

Both conventional wisdom and empirical evidence suggests that arranging a prior commitment or agreement before an interaction enhances the chance of reaching mutual cooperation. Yet it is not clear what mechanisms can promote the…

Tax evasion is the illegal evasion of taxes by individuals, corporations, and trusts. The revenue loss from tax avoidance can undermine the effectiveness and equity of the government policies. A standard measure of tax evasion is the tax…

Formal analyses of incentives for compliance with network protocols often appeal to game-theoretic models and concepts. Applications of game-theoretic analysis to network security have generally been limited to highly stylized models, where…

We develop a model of tax evasion based on the Ising model. We augment the model using an appropriate enforcement mechanism that may allow policy makers to curb tax evasion. With a certain probability tax evaders are subject to an audit. If…

We use an evolutionary game model to study the interplay between corporate environmental compliance and enforcement promoted by the policy maker in a country facing a pollution trap, i.e., a scenario in which the vast majority of firms do…

In this paper we present a simplified model of a proportional taxation system where citizens decide whether to pay taxes or evade them. We initially derive a dynamic equation for the fraction of evaders and then present both its critical…

Tax evasion causes severe losses of government revenues and disturbs the economic order of fair competition. To help alleviate this problem, the latest tax evasion detection solutions utilize expert knowledge to extract features and then…

Designing tax policies that are effective in curbing tax evasion and maximize state revenues requires a rigorous understanding of taxpayer behavior. This work explores the problem of determining the strategy a self-interested, risk-averse…

In a system of interdependent users, the security of an entity is affected not only by that user's investment in security measures, but also by the positive externality of the security decisions of (some of) the other users. The provision…

Compliance management plays an important role in mitigating insider threats. Incentive design is a proactive and non-invasive approach to achieving compliance by aligning an insider's incentive with the defender's security objective, which…

Commitments play a crucial role in game theory, shaping strategic interactions by either altering a player's own payoffs or influencing the incentives of others through outcome-contingent payments. While most research has focused on using…

It is well known that a game equilibrium can be far from efficient or fair, due to the misalignment between individual and social objectives. The focus of this paper is to design a new mechanism framework that induces an efficient and fair…

We consider active learning under incentive compatibility constraints. The main application of our results is to economic experiments, in which a learner seeks to infer the parameters of a subject's preferences: for example their attitudes…

To regulate a social system comprised of self-interested agents, economic incentives are often required to induce a desirable outcome. This incentive design problem naturally possesses a bilevel structure, in which a designer modifies the…

Are rewards or penalties more effective in influencing user behavior? This work compares the effectiveness of subsidies and tolls in incentivizing user behavior in congestion games. The predominantly studied method of influencing user…

In repeated games, such as auctions, players rely on autonomous learning agents to choose their actions. We study settings in which players have their agents make monetary transfers to other agents during play at their own expense, in order…