An Introduction To Behavioral Taxation

Looking over various countries, the tax revenue outflow has been a difficult problem. Raising the aware tax payment consciousness is the more effective way to reduce tax revenue outflow than increasing the punishment. Raising the aware tax payment consciousness need the deep research about tax payment behavior.But the research about tax payment behavior is very weak at present. Former system research about the tax payment behavior is mainly in new classical economics angle. This article follows the behavior economic analysis logic, constructs a theory frame of behavioral taxation to analyse tax payment behavior. The research goal of behavioral taxation is to disclose t taxpayer's real behavior choice process and influencing factor from limited rationality and limited selfish taxpayer angle. This article will answer mainly such three questions: What is the exterior restraint to influence tax payment behavior? What is the internal constraint to influence tax payment behavior? How taxpayer makes decision under internal and external constraints?Chapterâ… is the introduction. The part includes the research background, the literature summarize, the research technique, research logic and the structure arrangement, the innovation and the lack of the article.Chapterâ…¡is the theory frame of behavioral taxation analysis. Behavioral taxation theory differs from the traditional taxpayer behavior theory about person's fundamental assumption. Behavioral taxation is based on the supposition that taxpayer is limited rationality, pursuing economy and non-economic value goal.The existing tax payment behavioral models have four kinds. They have the respective rationality and limitation. According to cognition psychology research model, this article absorbs the reasonable thought of above four kind of models and constructs an elementary theory frame of behavioral taxation. Its basic idea is: (1) tax payment behavior is influenced by cultural system, economic system, political system, legal regime, social structure, motive, cognition, study, manner .(2)In the system theory angle , the tax payment behavior question is a system question. The tax payment behavior system is made up of external system, internal system and tax payment decision system. This system has the static characteristic, simultaneously displays the dynamic evolution characteristic.Chapterâ…¢is the external system and the tax payment behavior, reply the 1st question - -what is the exterior restraint that influences tax payment behavior? External system includes social system and social characteristic two. The two aspects are neglected frequently in the traditional analysis, but they are the important factors which affects tax payment behavior. From culture, economy, politics, law, society five latitudes ,this article elaborates the influence of external system to the taxpayer behavior.(1) cultural latitude. Profits from the Hove Stender's cultural difference theory, the article proposes that the five aspect differences in authority distance, uncertainty to avoid, individualism or collectivism, male or female, long-term orientation or short-term orientation causes the tax payment behavior different. The traditional economics supposes that humanity behavior is rational and the self-interested, the economic man will not sacrifice the self-benefit for the fair goal. According to this logic, no paying taxes is taxpayer's best choice. This article considered that taxpayer's fair psychology, constructs a game model of tax payment behavior, obtains a balanced result which is different with the traditional rational model, and uses the non-difference curve method to explain that tax payment morals is effective to be one selective incentive way.(2) economical latitude. The article proposes and proves that property right arrangement can affect the tax payment behavior. When taxpayer's property right cannot obtain the protection, the government is not considered to represent own benefit, the taxpayer evades tax through many methods. The taxpayer often thinks that own behavior are right when he utilizes these methods. Tax system's efficiency and fair will have the immediate influence to the tax payment behavior.(3) political latitude. Taxpayers have decision-making power and right to control tax revenue to a certain extent is helpful in enhancing the enthusiasm and the initiative of paying taxes. The good constitution is helpful greatly to taxpayer approving its validity, stimulating his loyal feeling. Taxpayer surveillance is the important measure that restricts government authority and guarantees that its request right is not abused. Information symmetry, non-exclusiveness surveillance achievement and asymmetrical authority of principal-agent sides cause that taxpayer can't effectively supervise government .The effective methods that taxpayer carries on surveillance mainly are as follows: collecting and disclosing information to screen the agent, designing reasonable and appropriate contract as well as inspecting the agent. The taxpayer has the following several kinds of behavior choice which is related with tax payment in the political realm: voting, canvass, rent-seeking. This article will construct a principal-agent model to analyse the competition game behavior that taxpayer groups compete for the tax benefit, and voting, canvass and rent-seeking are analyzed. through structuring mathematical model.(4) legal dimension. The law may carry on restraint and surveillance to the tax related main body behavior, causes it to revolve in the frame. Formulation and execution of laws related with tax affect tax payment behavior. Chinese and the Western law tradition is different, the tax law condition is very different. The tax legal principle is manifestation of modern constitution principles in tax law. It is pivotal to assure human rights, vindicate national interest and the social benefit. When the tax revenue legal principle obtains the implementation in reality, the taxpayer has the higher enthusiastic of tax payment. The right flaw causes the fulfillment of tax obligation to become the non-voluntary behavior in many situations. Giving the suitable punishment to the taxpayer who does not fulfill the tax obligation is advantageous to enhance the tax revenue deference degree.(5) Social dimension. The behavior characteristic of various social stratum taxpayer is different. This article proposes taxonomic approach of various social stratum taxpayer, and analyzes their respective tax payment behavior characteristic. Individual taxpayer is influenced by the community. The community has three fundamental modes to influence individual taxpayer: information influence, regulated influence and value influence. The reference groups to influence tax payment behavior mainly have acquaintance community, taxpayer move community and charm community. This article will analyze the forming process of taxpayer herd behavior using the Bayesian Principle.Chapterâ…£is the internal system and tax payment behavior, replies the 2nd question - -What is internal constraint to influence tax payment behavior? When exterior restraint is certain, different taxpayer behavior is different. Its reason is that mental structure of taxpayer has different characteristic. The characteristics are unique for some specific taxpayer, affects his sensation to the specific type tax payment plan, therefore causes individual difference in the tax payment plan choice. This article will construct a tax payment behavior motive process model, analyzes constitution of the taxpayer needs, explains dynamic mechanism of tax payment behavior motive; profits from the cognition behavior theoretical to analysis learning process of taxpayers; Proposes that taxpayer consciousness includes choice, organization and understanding to stimulation, described a conceptual model of tax payment satisfaction ingredient, explains that taxpayer is limited rational; Proposed that tax payment behavior attitude is composed of three ingredients: cognition ingredient, emotion ingredient, behavior ingredient, proves that taxpayer risk difference is different.Chapterâ…¤is the tax payment decision analysis, answers the 3rd question - - under the internal and external constraints, how taxpayer makes decision? This article proposes that tax payment decision system is the unifications of four sub-systems which are support, formulation, execution and feedback of tax payment decision-making, divides three stage to analysis tax payment decision-making behavior:(1) Earlier period. The taxpayer possibly collects datum as far as possible, formulates an astute decision-making. Taxpayer usual needs following information: evaluation criteria, appropriate alternative plan and alternative plan characteristic. The taxpayer often needs to make the judgment and the decision-making in the limited time under the condition to face the huge information flow. The intuition to reduce complex and the corresponding deviation that it causes mainly have the following several kinds: the simplified fact and the deviation, the availability and the deviation, the anchor and the deviation. The taxpayer often overestimates his ability to estimate accurately the probability of the event. The taxpayer does not like the gambling probability indefinite.(2) Intermediate stage. The simple decision rules that the taxpayer uses have two kinds of main types: redemptive and non-redemptive decision rule. The traditional taxpayer behavior theory uses the anticipated utility theory to be the description model of tax payment behavior .However, the taxpayer is departed from the anticipated utility theory axiom frequently. Taxpayer's choice process may divide into two stages under risk condition: edition stage and appraisal stage. The taxpayer separates frequently the single gambling with other gambling. The taxpayer often has deviations such as control illusion and losing control .(3) Later period. Taxpayer will carry on the appraisal to the consequence after the decision-making, which provides the reference system for the later decision-making. This article constructs tax payment plan value appraisal conceptual model, analyzes three factors which affects the taxpayer cognition degree as well as two methods in which the taxpayer reduces maladjustment.Chapterâ…¥is empirical analysis to the Chinese tax payment behavior. Present tax payment behavior situation of our country is still unoptimistic. On the direct tax payment behavior aspect, compared with other countries, the behavior of evading taxes and avoiding taxes is quite common. On the indirect taxation behavior aspect, along with the formation of all kinds of tax benefit group, the solicit and rent-seeking and so on increase. Factors to influence Chinese tax payment behavior include political, tax revenue legal regime, social culture. This article proposes the optimized countermeasure of tax payment behavior system: optimizing government governs, optimizing tax revenue legal regime, optimizing culture and the social environment.