Tax Compliance in the RentalHousing Market: Evidence from aField Experiment

We study rental income tax compliance using a large-scale randomizedfield experiment and register data with third-party information on theownership of apartments. We analyze the responses of potential land-lords to treatment letters notifying them of stricter tax enforcement. Wealso study spillover effects of tax enforcement within the household andbetween landlords within local rental markets. We find an increase inreported income after an enforcement letter is sent to landlords. We alsofind positive reporting spillovers between spouses, as well as betweenlandlords in a subgroup of more likely evaders.