The Meaning and Factors of Efficient Tax Debt Collection

Tomaž Lešnik; Davorin  Kračun; Timotej Jagrič

Tomaž Lešnik
Davorin Kračun
Timotej Jagrič

Keywords: tax enforcement efficiency, tax debt collection, government revenues, macroeconomic conditions

Abstract

This paper discusses tax debt collection, focusing on the importance of tax enforce- ment efficiency in the broader context of government revenues collection and the factors that affect the efficiency of tax enforcement alone. In the empirical section, we test a simple econometric model that, in the case of Slovenia, assesses the meaning of the tax enforcement efficiency with respect to the revenues collection. The results of the model show that the collected revenue as the dependent variable is affected by ma- croeconomic conditions; revenues collected from a previous period, and as statistical- ly significant also prove to be the ratio of collected tax debt to the tax debt claimed. In the discussion, we highlight the factors that influence the tax enforcement efficiency.

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Author Biographies

Tomaž Lešnik

PhD student at the Faculty of Economics and Business Maribor, Slovenia
E-mail: lesnik.tomaz@amis.net

Tomaž Lešnik, M.Sc., was born in Maribor on 22 September 1975. He received his B.A. from the Faculty of Economics and Business Maribor in 1998 and his M.Sc. in tax law from the Law Faculty in Maribor in 2003. He is currently preparing his doctoral thesis at the Faculty of Economics and Business Maribor. In his professi- onal and scientific papers, he focuses on the area of public finances, particularly on tax noncompliance problems. He is especially interested in the influence of fiscal administration measures on the level of tax compliance. He has also studied the comparative legal views of different tax systems and prepared the prepositions of the tax processes optimization. He works in the tax administration on the areas of planning, analysis, and statistics. He lives with his life companion and children in Limbuš, near Maribor.

Davorin Kračun

Faculty of Economics and Business, University of Maribor, Slovenia
E-mail: davorin.kracun@uni-mb.si

Davorin Kračun, Ph.D., is a professor of economics at the Faculty of Economics and Business, University of Maribor. He received his Ph.D. in economics from the University of Zagreb, Croatia. He was the Vice-Dean of the School of Business and Economics. Today he is the Chair of the Department for Political Economy and the Academic Chairman of the Faculty. In the government of the Republic of Slovenia, professor Kračun was the Minister of Foreign Affairs, Deputy Prime Minister and Minister of Economic Relations and Development, and Minister of Planning. He served as Slovenia’s ambassador to the United States. He was also the chairman of the Supervisory Boards of Nova Kreditna Banka Maribor and the corporation Terme Maribor and currently serves as the chairman of the Super- visory Board of Pošta Slovenije. His scientific bibliography consists of more than 400 subjects.

Timotej Jagrič

Faculty of Economics and Business of the University of Maribor, Slovenia
E-mail: timotej.jagric@uni-mb.si

Dr. Timotej Jagrič is a full professor of applied economics and econometrics and an associate professor of finance. He is head of the Institute of Finance and Banking at the University of Maribor. At the Faculty of Economics and Business of the University of Maribor, he is a lecturer of undergraduate, master's, and doctoral courses; at the Faculty of Natural Sciences and Mathematics of the University of Maribor, he is a lecturer of master's programme courses. He is a member of the CORE@UM research programme.

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