THE EFFECT OF AUDIT RATES ON THE FEDERAL INDIVIDUAL INCOME TAX, 1977-1986

Abstract

Analyzes empirically the effect of audit rates and certain other factors on the filing of federal individual income tax returns and the self-reporting of taxes due. Estimates that self-reported taxes in 1986 would have been greater by approximately fifteen billion dollars had the federal audit rate remained constant at its 1977 level during the intervening period.