Data science for assessing possible tax income manipulation: The case of Italy

@article{Ausloos2017DataSF,
  title={Data science for assessing possible tax income manipulation: The case of Italy},
  author={Marcel Ausloos and Roy Cerqueti and Tariq Ahmad Mir},
  journal={Chaos Solitons \& Fractals},
  year={2017},
  volume={104},
  pages={238-256}
}
This paper explores a real-world fundamental theme under a data science perspective. It specifically discusses whether fraud or manipulation can be observed in and from municipality income tax size distributions, through their aggregation from citizen fiscal reports. The study case pertains to official data obtained from the Italian Ministry of Economics and Finance over the period 2007-2011. All Italian (20) regions are considered. The considered data science approach concretizes in the… 
Data on the annual aggregated income taxes of the Italian municipalities over the quinquennium 2007–2011
TLDR
This dataset contains the annual aggregated income taxes of all the Italian municipalities over the years 2007–2011 and can serve for making comparisons between economical aspects and other features of the Italian cities.
Regular paths in financial markets: investigating the Benford's Law
Abstract This paper aims at verifying whenever the Benford's Law is valid in the context of global stock markets, which are here viewed as complex systems. In so doing, we pursue the scope of
Fraud Detection in Financial Statements Applying Benford's Law with Monte Carlo Simulation
TLDR
This research confirms the hypothesis that financial statement frauds are usually conducted using the second digit, and tests Benford’s Law for detecting fraud in financial statements.
SME investment best strategies. Outliers for assessing how to optimize performance
Abstract Any research on strategies for reaching business excellence aims at revealing the appropriate course of actions any executive should consider. Thus, discussions take place on how effective a
Governance and Communication of Algorithmic Decision Making: A Case Study on Public Sector
  • Erik Jonk, Deniz Iren
  • Computer Science
    2021 IEEE 23rd Conference on Business Informatics (CBI)
  • 2021
TLDR
This case study examined eight municipal organizations in the Netherlands regarding their actual and intended use of ADM, and found that municipalities mostly use ADM in an ad hoc manner, and they have not systematically defined or institutionalized a data science process yet.
Benford'S Law as an Indicator of Survey Reliability—Can We Trust Our Data?
This paper analyzes how closely different income measures conform to Benford's law, a mathematical predictor of probable first digit distribution across many sets of numbers. Because Benford's law
Benford’s law first significant digit and distribution distances for testing the reliability of financial reports in developing countries
We discuss a common suspicion about reported financial data, in 10 industrial sectors of the 6 so called “main developing countries” over the time interval [2000–2014]. These data are examined
Artificial Intelligence Techniques to Detect and Prevent Corruption in Procurement: A Systematic Literature Review
TLDR
This study analyzed differentness kinds of corruption like (bribery, collusion embezzlement, misappropriation, fraud, abuse of discretion, favoritism, nepotism), and six types of Artificial Intelligence techniques (classification, regression, clustering, prediction, outlier detection, and visualization).
Tracking The Price of Almonds in Spain
TLDR
Benford’s Law is used to analyze the distribution of the second and third digits of the price of almonds in Spain and finds that prices in the Albacete and Reus markets deviate from Benford's Law, especially for the third digit.
Sustainability Assessment of Portuguese Local Governments (2009 to 2017)
Public governance must ensure financial sustainability. This investigation aims to assess Portuguese local governments financial sustainability as the ability to service the upcoming obligations in
...
1
2
...

References

SHOWING 1-10 OF 80 REFERENCES
Fact and Fiction in EU-Governmental Economic Data
Abstract To detect manipulations or fraud in accounting data, auditors have successfully used Benford’s law as part of their fraud detection processes. Benford’s law proposes a distribution for first
Do Countries Falsify Economic Data Strategically? Some Evidence That They Might
Abstract Using Benford's law, we find evidence supporting the hypothesis that countries at times misreport their economic data strategically. We group countries with similar economic conditions and
Regularities and discrepancies of credit default swaps: a data science approach through Benford's law
In this paper, we search whether the Benford’s law is applicable to monitor daily changes in sovereign credit default swaps (CDS) quotes, which are acknowledged to be complex systems of economic
Tax rates and tax evasion: an empirical analysis of the long-run aspects in Italy
We use official time series of the Italian evaded VAT base (Ministry of Finance) for the period 1980:1–2006:4 to investigate empirically the long-run characteristics of tax evasion and the
Benford’s law predicted digit distribution of aggregated income taxes: the surprising conformity of Italian cities and regions
The yearly aggregated tax income data of all, more than 8000, Italian municipalities are analyzed for a period of five years, from 2007 to 2011, to search for conformity or not with Benford’s law, a
Benford's Law: Analyzing a Decade of Financial Data
ABSTRACT:  This study uses a decade of financial accounting data to examine if and how they depart from Benford's Law. Using a large sample of U.S. public companies, we conduct an analysis of the
Workers' Tax Evasion in Italy
We apply a direct method to estimate tax evasion in Italy, assuming that tax evaders might consider declaring a closer-to-true income in an anonymous interview. The methodology is applied to employed
The Tax Evasion Social Multiplier: Evidence from Italy
We estimate social externalities of tax evasion in a model where congestion of the auditing resources of local tax authorities generates a social multiplier. Identification is based on a contrast of
Benford’s law and Theil transform of financial data
Among econophysics investigations, studies of religious groups have been of interest. On the one hand, the present paper concerns the Antoinist community financial reports–a community which appeared
The Quality of China's GDP Statistics
Since the 1998 “wind of falsification and embellishment,” Chinese official statistics on gross domestic product (GDP) have repeatedly come under scrutiny. This paper evaluates the quality of China's
...
1
2
3
4
5
...