The Effects Of Negative Publicity And Stigma On Tax Compliance

Negative publicity is a common tax management measure.But its effect has been controversial.Does exposure of tax evasion promote tax compliance?Based on the analysis of behavioral economics on the basis of social psychology,negative publicity can increase the degree of tax compliance by improving the social psychological mechanism of shame.But at the same time,the negative public may also bring about the stigma,resulting in human behavior "po guan zi po shuai",so as to improve the taxpayer's tax evasion intention.In addition,does the mechanism of negative publicity still play a theoretical role behind the Chinese social and cultural background?It's worth thinking about.In order to find out the answers to these questions above.Based on behavioral economics theory,referring to the design of experimental economics of foreign scholars,utilizing the Xiamen University financial research laboratory,this paper set experiment to detect answers.The experiment was divided into experimental group and control group.The reaction of experimenters to different methods between the experimental group and control group would be analyzed to detect the impact of negative publicity and stigma effect on tax compliance.The experimental results shows that the penalty cannot effectively reduce the decision of the subject's tax evasion,but the exposure of the experimenter's photo can significantly inhibit the experimenter's tax evasion behavior.At the same time,the response of experimenter to the differences between the experimental group(no stigma effect)and control group(existing stigma effect)are significantly different.Compared with the experimenters of experimental group,the experimenters of control group which is the treatment of stigma was more dissatisfied,and easier to tax evasion.This paper tests the role of the exposure of violations to tax compliance in an approximately realistic environment,and reveals the side-effect of this kind of negative publicity may bring.It has important theoretical significance and practical significance to study for expanding the extension of tax compliance in China and improving the management level of Taxation of our country.