NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Taxpayer Search for Information: Implications for Rational Attention

Jeffrey Hoopes, Daniel Reck, Joel Slemrod

NBER Working Paper No. 19482
Issued in September 2013
NBER Program(s):   ME   PE

We examine novel data on searches for capital-gains-tax-related information to determine when and how taxpayers acquire information. We find strong seasonal increases in information search around tax filing deadlines, suggesting that taxpayers seek information to comply with tax laws. Positive correlations between stock market activity and information search and year-end spikes in information search on capital losses suggest that taxpayers seek information for tax planning purposes. Policy changes and news events cause noteworthy information search. Overall, these data suggest that taxpayers are not always fully informed, but that rational attention and exogenous shocks to tax salience drive taxpayer information search.

You may purchase this paper on-line in .pdf format from SSRN.com ($5) for electronic delivery.

Information about Free Papers

You should expect a free download if you are a subscriber, a corporate associate of the NBER, a journalist, an employee of the U.S. federal government with a ".GOV" domain name, or a resident of nearly any developing country or transition economy.

If you usually get free papers at work/university but do not at home, you can either connect to your work VPN or proxy (if any) or elect to have a link to the paper emailed to your work email address below. The email address must be connected to a subscribing college, university, or other subscribing institution. Gmail and other free email addresses will not have access.

E-mail:

Acknowledgments

Machine-readable bibliographic record - MARC, RIS, BibTeX

Document Object Identifier (DOI): 10.3386/w19482

Users who downloaded this paper also downloaded these:
Kopczuk, Marion, Muehlegger, and Slemrod w19410 Do the Laws of Tax Incidence Hold? Point of Collection and the Pass-through of State Diesel Taxes
Liebman and Mahoney w19481 Do Expiring Budgets Lead to Wasteful Year-End Spending? Evidence from Federal Procurement
Agarwal, Chomsisengphet, Mahoney, and Stroebel w19484 Regulating Consumer Financial Products: Evidence from Credit Cards
Ito w19485 Asymmetric Incentives in Subsidies: Evidence from a Large-Scale Electricity Rebate Program
Razin w19346 Migration into the Welfare State: Tax and Migration Competition
 
Publications
Activities
Meetings
Data
People
About

Support
National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email: info@nber.org

Contact Us