Fochmann, Martin Kiesewetter, Dirk Blaufus, Kay Hundsdoerfer, Jochen Weimann, Joachim
Year of Publication:
Arqus-Diskussionsbeiträge zur quantitativen Steuerlehre 99
This paper gives a survey of the experimental literature on the perception (bias) of individuals with respect to their own tax burden and its effect on economic decisions. Six strands of literature are discussed: (1) perception of marginal tax rates, (2) influence of tax complexity on tax perception, (3) taxation and incentives to work, (4) tax salience, (5) tax morale and fairness and (6) money illusion, perceived inflation and fiscal drag. The literature discussed contains more evidence for than against a perception bias.