Revolutionizing Tax Compliance: How Salience and Influence Can Close the Gap
Self-employed and small business taxpayers often don't pay all the taxes they owe, leading to a $150 billion gap annually. To fix this, the government needs to make tax messages more attention-grabbing and use influence techniques to change the norm of noncompliance. By making tax messages more noticeable and tapping into taxpayer habits, like following peers, the government can encourage better tax compliance.