Skatteforsk researchers contributed to the 2025 Irish Public Economics Workshop, hosted by the Central Bank of Ireland on September 1–2. The annual event brought together leading scholars to discuss new research in public economics.
Johannes Scheuerer, Postdoc at Skatteforsk presented the paper “Tax Non-Compliance Penalties: Evidence and Optimality” (co-authored with Annette Alstadsæter and Jakob Brounstein). The study examines an enforcement tool that is both cost-effective and underexplored: penalty rates for tax non-compliance. Using Norwegian administrative data, the authors show that increasing penalty rates leads to higher future income reporting and tax collection among affected taxpayers. However, the research also reveals a rise in appeals, highlighting important trade-offs between revenue gains and administrative costs. These findings provide valuable insights for understanding taxpayer behavior and designing effective enforcement strategies.
Ron Davies, Research Director at Skatteforsk, presented “Hidden Profits, Lost Jobs? Tax Havens and Employment Decisions” (co-authored with Margarita Lopez-Forero, Benjamin Michallet, and Johannes Scheuerer). The paper leverages administrative data from France and Norway to explore how multinational enterprises’ use of tax havens affects local labor markets. The results suggest that strategic profit shifting can reduce domestic employment of high-skilled workers, as firms reallocate roles to tax havens to meet substance requirements and justify intra-firm transfers. These findings open new avenues for research on the intersection of international taxation and labor markets.
By engaging in these academic discussions, our team continues contributing to the global dialogue on taxation, reinforcing our commitment to advancing policy-relevant research.