What was it about

This course addressed the main causes behind shadow economy. It sought answers with regards to what extent the shadow economy is an issue of high tax burdens, intensity of regulation, complexity of the tax system and other driving forces of this phenomenon.

The event was also an opportunity to discuss what action tax administrations in SEE can take to tackle the shadow economy. In this regard it looked at the range of measures that are not confined to traditional audit or investigative approaches. Since taxpayers' attitude towards the government is quite important to determine whether one is engaged in shadow economy activities or not, part of the course also looked into how tax administrations can influence tax morale. Participants were invited to share their experience of country specific projects under which national tax authorities are striving to improve lines of communication between citizens and governments as a powerful mechanism of managing the shadow economy.

How were the benefits

This learning initiative included a combination of presentations by subject-matter experts, group work activities followed by answer and question sessions.

Participants were encouraged to share information on national strategies for fighting the shadow economy, with a particular focus on improving tax compliance. An important feature of this event was the valuable exchange of experiences of tax authorities across SEE supported with examples of efficient practices.

By the end of the course, participants have:

• Gained new insights into the range of compliance and investigative strategies that countries can adopt in their attempts to fight against shadow economy
• Learned about different indirect measures (e.g. communications and publicity campaign) to confine the scope of the shadow economy
• Discussed varieties of sales suppression tools and techniques and how the use of modern cash registers can lead to their discovery
• Learned by exchange of experiences from other countries

Who was it for

The course has been designed for mid to senior level tax auditors, criminal tax investigators or inspectors who are involved and/or have experience with the fighting the shadow economy, with a particular focus on improving tax compliance.

Participants are expected to take an active part in the workshop activities. The success of the workshop is directly dependent on the participants’ active engagement in the discussions and group work.

In view of the interactive nature of the event, it will be helpful if participants have a good command of the English language as there are no interpretation services planned.

Faculty

This course was delivered in co-operation with colleagues from the International Monetary Fund, Danish Tax Administration and Belgian Federal Public Service.

Partners

This learning initiative was supported by: