E-invoicing, tax audits and VAT compliance
Kotsogiannis, Christos (University of Exeter)
Salvadori, Luca (Universitat Autònoma de Barcelona)
Karangwa, John
Murasi, Innocente

Date:	2025
Description:	8 pàg.
Abstract:	Difficult to find another policy shift that has promised as much for tax compliance in developing countries as digitalization. Yet the evidence on its impact is scant. Using the universe of tax filings in Rwanda over the period 2012-2019, this paper investigates the extent to which digitalization (in the form of e-invoicing) has impacted on VAT compliance and in particular the effectiveness of tax audits. The evidence suggests that on the aggregate e-invoicing adoption has increased firms' net VAT payments and has improved the efficiency of VAT audits. It is also shown that e-invoicing has a sizeable impact on VAT liabilities reported by audited firms, with this impact being attributed to tax audits being more efficient rather than to VAT registered firms becoming more compliant following their adoption of e-invoicing.
Grants:	Agència de Gestió d'Ajuts Universitaris i de Recerca 2021/SGR-0571 Agencia Estatal de Investigación CEX2019-000915-S Agencia Estatal de Investigación CNS2022-135749 Agencia Estatal de Investigación PID2022-137707NB-I00
Note:	Altres ajuts: acords transformatius de la UAB
Rights:	Aquest document està subjecte a una llicència d'ús Creative Commons. Es permet la reproducció total o parcial, la distribució, la comunicació pública de l'obra i la creació d'obres derivades, fins i tot amb finalitats comercials, sempre i quan es reconegui l'autoria de l'obra original.
Language:	Anglès
Document:	Article ; recerca ; Versió publicada
Subject:	Tax audit evaluation ; Technological change ; Digitalization initiatives ; Tax administration ; Tax evasion ; Tax compliance ; SDG 16 - Peace, Justice and Strong Institutions ; SDG 8 - Decent Work and Economic Growth ; SDG 9 - Industry, Innovation, and Infrastructure ; SDG 17 - Partnerships for the Goals ; SDG 1 - No Poverty ; SDG 2 - Zero Hunger ; SDG 3 - Good Health and Well-being ; SDG 4 - Quality Education ; SDG 6 - Clean Water and Sanitation
Published in:	Journal of development economics, Vol. 172 (2025) , p. 103403, ISSN 1872-6089

DOI: 10.1016/j.jdeveco.2024.103403

8 p, 676.1 KB

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