Abstract

Tax evasion, which includes both legal optimization techniques and illicit activities, presents a considerable problem to fiscal institutions. This article examines main determinants and expressions, encompassing the influence of economic conditions, societal attitude, and the framework of tax legislation. It cites models (Allingham-Sandmo) and underscores instances of malfeasance, including fraudulent invoices, VAT fraud schemes, and the informal sector. The authors examine challenges stemming from confusing regulations, disparate rates, and corruption. The discourse culminates in an evaluation of the impact of tax evasion on public finances and societal confidence, and underscoring the necessity for robust preventive strategies, transparent governance, and fiscal sanctions.