The aim of this project was to increase the declaration and payment of overdue taxes during a tax amnesty launched in May 2017. BIT and SAT tested the effectiveness of sending eligible taxpayers one, two or three letters with information on tax relief during the tax amnesty. The letters were designed to incorporate behavioural components, such as simplified instructions and a clear call to action. Our sample consisted of 15,107 taxpayers (firms and self-employed individuals). Results show that sending two or three reminder letters did not increase the proportion of taxpayers that declared or paid overdue declarations compared to those who received only one letter. Multiple letters, however, did increase the proportion of overdue declarations made by taxpayers. Sending three letters increased the proportion of declarations made by 1.5 percentage points (to 15.6%).
Partner organisation: Superintendencia de Administración Tributaria (SAT) – Guatemalan Tax Authority