nep-iue New Economics Papers
on Informal and Underground Economics
Issue of 2023‒10‒09
two papers chosen by
Catalina Granda Carvajal, Banco de la República

  1. Public Disclosure and Tax Compliance: Evidence from Uganda By Priya Manwaring; Tanner Regan
  2. Mobile Money Taxation and Informal Workers: Evidence from Ghana’s E-Levy By Anyidoho, Nana Akua; Gallien, Max; Rogan, Mike; van den Boogaard, Vanessa

  1. By: Priya Manwaring; Tanner Regan
    Abstract: Public disclosure policies have potential to raise tax compliance where alterna¬tive enforcement capacity is limited. We study the effects of reporting delinquents and recognizing compliers, and provide evidence on the social determinants of tax compliance. Our results are consistent with a model in which being publicly known as tax-eligible is costly but social sanctions for delinquency are limited. Further, disseminating information on tax behavior reduces the compliance of recipients by causing their beliefs to be updated down toward the true compliance rate. Overall, these policies are limited at raising revenue and less effective than simple enforce¬ment reminder nudges.
    Keywords: public disclosure , property tax , shaming , tax morale
    JEL: O18 H30 H26
    Date: 2023
  2. By: Anyidoho, Nana Akua; Gallien, Max; Rogan, Mike; van den Boogaard, Vanessa
    Abstract: In recent years, more and more governments in lower income countries have been introducing taxes on mobile money transfers as a means to raise revenue. These are often explicitly promoted as a way of taxing informal economic activity, but critics point out their potential negative impact on lower-income groups. Ghana’s electronic transfer levy (E-levy), introduced in May 2022, is a particularly interesting case study. It was explicitly justified as a way of taxing Ghana’s informal economy but includes a 100 cedi ($8.80) per day threshold to limit the tax burden on lower-income groups. Using data from a new survey of 2, 700 self-employed informal workers in the Accra Metropolitan Assembly (AMA) collected in April and May 2022, we examine the likely impact of the E-levy on informal workers from an equity standpoint (with reference to earnings, gender and occupational sector), and explore how this relates to how the levy is perceived.
    Keywords: Finance, Work and Labour,
    Date: 2023

This nep-iue issue is ©2023 by Catalina Granda Carvajal. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
General information on the NEP project can be found at For comments please write to the director of NEP, Marco Novarese at <>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.