Tax evasion across the income distribution: Evidence from audits in Pakistan

Project Active from to Sustainable Growth and State Effectiveness

This project evaluates the effectiveness of randomised tax audits in Pakistan, leveraging a natural policy shift from targeted to random audit selection between 2013 and 2015. By analysing administrative and public data, the project estimates the extent of income tax evasion and assesses how audit strategies can be improved to enhance compliance in resource-constrained tax systems.