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Perception of tax evasion as a crime in Turkey

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  • ALKU University

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Purpose The study aims to investigate Turkish taxpayers’ perception of the severity of tax evasion relative to other crimes and violations. Design/methodology/approach A questionnaire survey was administrated to 475 Turkish self-employed respondents. One sample t- test and one-way ANOVA methods were used for data analysis. Findings The results of the study illustrate that tax evasion ranked 10th among the twenty-one offences surveyed. The results indicate that the average person, views tax evasion as only somewhat serious. When compared to similar white-collar crimes it ranked less severe than accounting fraud, while it was ranked higher than violation of minimum wage laws, welfare fraud and child labor laws. The results of this paper are important as they emphasize the fact that general public do not perceive tax evasion as a serious crime. This perception allied to lack of enforcement efforts has created an environment where certain individuals may not be afraid of cheating on their tax return. The study also endeavors to observe whether there is a correlation between the relative severity of a crime whether a victim is involved or not. Research limitations/implications The main limitation arises from the sampling process used. The sample was drawn from only one city of Zonguldak, Turkey. The second limitation is related to the possibility of participant misunderstanding the questions and terminology used in the survey. The Third limitation is that this study only measures perceptions of the seriousness of 21 selected offences; hence, it may not be representative of the actual crimes. Originality/value This is an important study in relation to Turkey. This is the pioneer study of its kind which investigates the relationship between tax evasion as a crime and other offences in Turkey. Another important aspect of this study is the fact that our results indicate a close correlation with similar studies carried out in the United States.
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... Studies have been done examining the views of various religious groups on the issue of tax evasion. Some studies have focused on a particular religion, such as Baha'i (DeMoville, 1998),Buddhism (Bolek et al., 2024b), Catholicism (Gronbacher, 1998), Christianity (Hamill, Jonsson, 2013, North, 2013Pennock, 1998;Schansberg, 1998), Hinduism (Bose, 2012), Islam (Achim, 2022;Benk & Budak, 2012;Benk et al., 2015 ) and Judaism (Cohn, 1998;Tamari, 1998), while other studies have compared the attitudes of several religions (McGee, 1999). If these studies have anything in common, it is that tax evasion is frowned upon, although exceptions might be made in certain circumstances. ...
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The primary source of funding for government expenditures is taxation. For this reason, it is crucial to understand what influences taxpayers' attitudes and behaviors about taxes and tax evasion. The reasons why taxpayers pay taxes or why they do not pay taxes can be brought to the desired level with the help of measures to be taken by the tax administration with the correct determination of these factors. This study is discussed within the framework of the positive or negative effects of taxpayers' personal situations on their attitudes and behaviours towards taxes. In this context, the attitudes and behaviours of taxpayers towards taxes are affected by many demographic variables. The study includes the findings of the research conducted by face-to-face surveys with 525 taxpayers operating in Istanbul. In this context, various analyses were applied with T-tests and ANOVA tests by taking into account the factors of education level and marital status of taxpayers. According to the findings of the study, it is concluded that marital status is a significant demographic variable regarding attitudes and behaviours towards taxes. Additionally, various differences have been identified in the attitudes and behaviours of taxpayers towards taxes in terms of educational level.
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... Gabor (2012) defines tax evasion as an illegal and intentional behavior to violate tax law for non-payment of the tax amount. Benk, Budak, Püren, and Erdem (2015) define tax evasion as "an illegal act or practice of failing to pay taxes owed to the state." Many authors defined tax evasion in multiple ways, but it is a clear way to underpay taxes. ...
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The global challenge of tax evasion presents a profound impact, leading to diminished tax revenues that are the lifeblood of a nation's seamless operations. This issue is exacerbated by the ingenious strategies employed by tax evaders, which distort economic performance benchmarks and create financial imbalances. Amidst these concerns, cryptocurrencies have emerged as a contentious subject, accused of abetting tax evasion. The covert nature of cryptocurrency transactions poses a significant hurdle for regulatory oversight and transaction recording. In response to this burgeoning concern, our comprehensive study delves into the intricate interplay between cryptocurrencies and tax evasion, utilizing annual data spanning from 2013 to 2020. With an extensive scope testing thirty two hypotheses and twelve interaction terms, our research unfurls the multifaceted dynamics at play. This study embarks by constructing a latest tax evasion index for the esteemed G-7 nations. Employing asymmetric/symmetric panel techniques, our investigation unveils a compelling revelation: cryptocurrencies exert a counteractive influence on instances of tax evasion. Furthermore, the nexus between economic performance and cryptocurrencies bears considerable sway over their correlation with tax evasion. Innovatively, our research charts the intricate relationship between tax evasion and cryptocurrencies across varying levels of economic performance. Notably, our findings underscore that Economic Freedom, Government Integrity, Government Spending, Business Freedom, Labor Freedom, Monetary Freedom, Investment Freedom, and Bureaucracy function as moderators, influencing the association between tax evasion and cryptocurrencies. These insights transcend academia, delivering significant implications to policymakers with informed guidance to devise nuanced strategies and policies.
... A study by Benk et al. (2015) of 475 Turkish self-employed respondents found that the average person found tax evasion to be only somewhat serious. Tax evasion ranked 10 th out of 21 offenses included in the survey instrument. ...
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... Findings by Richardson (2008) also confirmed the inverse relationship between taxpayers' religiosity level and degree of tolerance towards tax evasion. Previous study had investigated the effect of religiosity of taxpayers in voluntary tax compliance matters and found there is a significant positive, but minimal impact on tax compliance based on the degree of taxpayers' religious commitment (Benk et al., 2015;Mohdali & Pope, 2014). ...
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