Technical Note
Toolkit for the estimation of tax gaps using a bottom-up approach
This technical note relates to the tax gap toolkit, which includes code (Stata do files) and a README file (how to run the code). The note describes the literature and methodology behind the development of the toolkit.
The tax gap toolkit is related to the estimation of value-added tax (VAT), corporate income tax (CIT), and personal income tax (PIT) gaps using the bottom-up approach, where operational audits and potential tax are calculated using machine learning.
This technical note is available in Spanish, French, and Portuguese.