Abstract
This research examines the effect of the provision of taxpayer services on filing and payment compliance for the corporate income tax (CIT) and general consumption tax (GCT) for large taxpayers in Jamaica. We focus on taxpayer’s decision to file and pay taxes conditional on reporting positive tax liabilities. The empirical strategy adopts a regression discontinuity design that exploits an exogenous jump in the intensity of taxpayer service delivery that occurs at an arbitrary gross receipts threshold. The results indicate null effects for the CIT where enforcement is relatively weak but positive filing and payment compliance effects for the GCT where enforcement is stronger. This is suggestive of a complementarity between the enforcement strength of the tax regime and service delivery.
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