Tax Administration Efficiency in 35 OECD Countries: DEA Method2

The efficiency of the tax administration should be evaluated for both tax costs and tax revenue. Modest tax cost, on the other hand, reduces tax losses by raising the taxpayer's voluntary compliance and increasing the public revenue. Moreover, fast and accurate taxation minimises the risk of the Tanzi effect as it shortens the taxation process. This research aims to detect the tax administration efficiency of 35 selected OECD countries in 2019 via DEA. The year is chosen to avoid the imbalances created by Covid-19. Efficiency scores are acquired under fixed and varying effects to the scale assumptions via two separate models, providing information on scale and technical activities.