Voluntary disclosures

1 Introduction Existing literature has given rise to two seemingly antagonistic approaches to modeling the frictions to the disclosure of evidence. The first approach, initiated by Jovanovic (1982) and Verrecchia (1983), posits a disclosure cost, such that the informed party incurs a loss from publicly disclosing information.

The introduction of tax conditionality Tax conditionality is a term used for when the renewal of licences is dependent on compliance with tax obligations. Industries that could be caught are: private security, taxis and private hire vehicles, waste management, landlords with houses of multiple occupancy, scrap metal and even retailers and traders.