Digitalization and Tax Compliance Spillovers : Evidence from a VAT e-Invoicing Reform in Peru /

Our study uses administrative data on firm-to-firm transactions and quasi- experimental variation in the rollout of electronic invoicing reforms in Peru to study the diffusion of e-invoicing through firm networks and its effect on tax compliance. We find that voluntary e-invoicing adoption is higher...

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Détails bibliographiques
Auteur principal: Bellon, Matthieu
Autres auteurs: Chang, Jillie, Dabla-Norris, Era, Khalid, Salma
Format: Revue
Langue:English
Publié: Washington, D.C. : International Monetary Fund, 2022.
Collection:IMF Working Papers; Working Paper ; No. 2022/057
Sujets:
Accès en ligne:Full text available on IMF
Description
Résumé:Our study uses administrative data on firm-to-firm transactions and quasi- experimental variation in the rollout of electronic invoicing reforms in Peru to study the diffusion of e-invoicing through firm networks and its effect on tax compliance. We find that voluntary e-invoicing adoption is higher amongst firms with partners who are mandated to adopt e-invoicing, implying positive technology adoption spillovers. Spillovers are stronger from downstream partners and from export-oriented firms. Firms are less likely to continue transacting with a partner who has been mandated into e-invoicing, with the effect only partially reversed if both firms adopt e-invoicing, suggesting that network segmentation may occur. Smaller firms who transact with partners mandated into e-invoicing report 11 percent more sales and pay 17 more VAT in the year that their partner is mandated to adopt e-invoicing, suggesting positive spillovers in tax compliance behavior for this subset of firms.
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Description matérielle:1 online resource (40 pages)
Format:Mode of access: Internet
ISSN:1018-5941
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