caa a22 4500 605484945 CHVBK 20210128100438.0 cr unu---uuuuu 210128e20150201xx s 000 0 eng 10.1007/s10551-013-1975-9 doi (NATIONALLICENCE)springer-10.1007/s10551-013-1975-9 Contextual and Individual Dimensions of Taxpayer Decision Making [Elektronische Daten] [Jeffrey Cohen, Gil Manzon Jr., Valentina Zamora] We examine whether a taxpayer's decision to choose a taxpayer-favorable (vs. a taxpayer-unfavorable) characterization of income is associated with contextual and individual dimensions of that decision. Using a 2×2 factorial experimental design, we manipulate the prevailing social norm on whether there is a general belief that a specific form of income should be characterized as a capital gain (taxed at a lower tax rate and hence taxpayer favorable) or as ordinary income (taxed at a higher tax rate and hence taxpayer unfavorable), and the group affiliation on whether the individual is making a tax characterization decision as a sole proprietor or as a member of a group practice. Moreover, we measure participants' fairness perception of characterizing the income as capital gains versus ordinary. We study the decisions of 180 graduate business and accounting students from two US business schools to explore these dimensions using a tax-ambiguous income situation. Results indicate that both contextual and individual dimensions impact taxpayer decisions. Specifically, the social norm and fairness perception of characterizing income as capital gains affects the likelihood of choosing such a characterization. Being a sole proprietor or a member of a group practice does not have any significant main effect. However, relative to all other conditions, taxpayers are most likely to characterize income as capital gains when both the social norms are for capital gains characterization and when the taxpayer is a member of a group practice. Results remain largely robust to a variety of alternative explanations. We conclude the paper with a discussion of our findings and their implications for tax policy, enforcement, and research. Springer Science+Business Media Dordrecht, 2013 Taxpayer decisions nationallicence Social norm nationallicence Group affiliation nationallicence Fairness perception nationallicence Income characterization nationallicence Cohen Jeffrey Accounting Department, Carroll School of Management Boston College, 140 Commonwealth Ave, 02467, Chestnut Hill, MA, USA aut Manzon Jr. Gil Accounting Department, Carroll School of Management Boston College, 140 Commonwealth Ave, 02467, Chestnut Hill, MA, USA aut Zamora Valentina Department of Accounting, Albers School of Business and Economics, Seattle University, 901 12th Avenue, P.O. Box 222000, 98122-1090, Seattle, WA, USA aut Journal of Business Ethics Springer Netherlands 126/4(2015-02-01), 631-647 0167-4544 126:4<631 2015 126 10551 https://doi.org/10.1007/s10551-013-1975-9 text/html Onlinezugriff via DOI BK010053 XK010053 XK010000 Metadata rights reserved Springer special CC-BY-NC licence nationallicence 1 research-article jats NATIONALLICENCE NATIONALLICENCE NL-springer NATIONALLICENCE 856 40 https://doi.org/10.1007/s10551-013-1975-9 text/html Onlinezugriff via DOI NATIONALLICENCE 700 1- Cohen Jeffrey Accounting Department, Carroll School of Management Boston College, 140 Commonwealth Ave, 02467, Chestnut Hill, MA, USA aut NATIONALLICENCE 700 1- Manzon Jr Gil Accounting Department, Carroll School of Management Boston College, 140 Commonwealth Ave, 02467, Chestnut Hill, MA, USA aut NATIONALLICENCE 700 1- Zamora Valentina Department of Accounting, Albers School of Business and Economics, Seattle University, 901 12th Avenue, P.O. Box 222000, 98122-1090, Seattle, WA, USA aut NATIONALLICENCE 773 0- Journal of Business Ethics Springer Netherlands 126/4(2015-02-01), 631-647 0167-4544 126:4<631 2015 126 10551