Tackling Undeclared Work: Improving the Range and Effectiveness of Sanction Tools

Abstract

Many economies tackle undeclared work by increasing the real or expected costs of participation in undeclared work. This can be achieved by increasing the perceived and/or actual sanctions imposed on those caught or by increasing the real and/or expected risk of detection. This report focuses upon the range and effectiveness of the available sanction tools to facilitate learning among enforcement authorities. The objectives of this report are to share and deepen understanding of: the effectiveness of using sanctions to tackle undeclared work, and the range of sanction tools available.