Seems like reduced tax evasion may be the key issue based on this bit from the paper: > I still find no evidence of an effect on inequality, as seen in column

Seems like reduced tax evasion may be the key issue based on this bit from the paper: > I still find no evidence of an effect on inequality, as seen in column (2). One potential reason for this puzzling result is the fact that tax compliance was known to be very low in Eastern European and Central Asian countries prior to the flat tax reforms. I tried to look at the effects of tax changes in the US, but the issue I ran into was that other things change at the same time. Changes to the tax code tend to be paired with either spending changes, or some other economic event that drove the change.