Brink and White (2015) examine individual tax compliance and whether (1) a shared interest in the consequences of evasion, and (2) regret salience of a potential adverse audit influence tax compliance decisions. Given the vast amount of potential revenue lost each year due to taxpayer noncompliance, understanding the root causes of tax compliance decisions has important practical implications. Extant research on individual tax compliance has examined both economic factors (Allingham and Sandmo 1972), as well as non-economic factors such as ethical decision-making (Alm and Torgler 2011). However, previous research has not examined the effects of a shared interest in the consequences of a tax compliance decision, nor the influence of a shared interest under differing degrees of regret salience.
To investigate the influence of a shared interest and regret salience on tax compliance decisions, Brink and White (2015) conduct an experiment using 147 experienced taxpayers as...
