It’s tax time! Do you know the difference between avoiding and evading taxes?
No matter who you are, when it comes to tax time you will try to save hold onto as much of your hard earned money as you can. You’ll want to choose your accountant wisely to ensure you hire the right one. Tax evasion, knowingly under reporting income or faking deductions is illegal. Tax avoidance can be used but can quickly turn into tax evasion if your accountant advises you on the wrong strategies. The final test is who you’ll want on your side if you ever get audited.
“It’s no surprise that taxpayers would generally like to minimize the amount of taxes owing. Over and over again courts have said that there is nothing sinister in so arranging one’s affairs so as to keep taxes as low as possible. Everybody does it, rich or poor, and all do right, for nobody owes any public duty to pay more than the law demands.“