Tax Planning VS Tax Evasion

How will u draw a line between Tax Planning and Tax Evasion. Is there is any thumb rule distinguish the above two terms ?

 

Replies (16)

TAX PLANNING IS ALWAYS LEGAL

 TAX PLANNING BY LEGAL WAY FOR TAX---------EV----------------?

TAX PLANNNING IS WITHIN THE FOUR CORNERS OF THE LAW AND IF A PERSON WHO IS SAVING THE TAX BY USING THE TOOLS MADE AVIALALBE BY THE LAW THEN IT IS TAX PLANNING BUT IF THIS IS NOT THE SITUATION WITH THE TAX EVASION !!!!!

ONE CAN NOT SEE A LINE FULLY CLAER BUT IN THE MIND AND HEART OF THE TAX PAYER IT IS ALWAYS CLEAR AND HE LAWAYS KNOW WHAT HE IS DOING i.e. HE IS PLANNNING FOR TAX SAVING OR!!!!!!!

 WHY SAVE THE TAX ----------IT IS OUR  NATIONAL DUTY--TO PAY TAX -FOR THE SMOOTH OPERATION AND RUNNING A HEALTHY  GOVT ----------THEN WHY NOT BOOKS PUBLISHED TO MOTIVATE THE PUBLICS TO PAY THE  MORE TAX  -INSPITE OF BOOKS PUBLISHED FOR TAX SAVING METHODS----------------------------------------------------WHY----------TELL ME SIR----? 

When there are two persons . One is give and one is payer , there will be always conflict of interest. Everyone wants to get maximum benefit.

 what about the persons--between them

Very thin Demarcation between Two.

One is previledge of Tax payers,whereas evasion is fraud.

BUT THE MEANING IS VERY CLEAR TO UNDERSTAND AND USE

SAVING THE TAX THROUGH INVESTMENT IS ALSO EQUAL TO THE PAYING THE TAX BECASUE THE MONEY INVESTED IS AT LEAST THREE TIME(SOME TIMES 4 OR 5 TIMES) MORE THAN THE TAX REQUIRED TO BE PAID. HENCE DEVICES OF TAX SAVING ARE ALSO CONTRIBUTION FROM THE TAX PAYERS TOWARDS NATION BUILDING.

thanks for it too much defenitions and info... it will really help me in future...

save tax and karo relax.....that should be slogan

Sometimes its the AO who demarcates them!! what say??

Originally posted by :Deepak Jain Now CA
" How will u draw a line between Tax Planning and Tax Evasion. Is there is any thumb rule distinguish the above two terms ?
 
"


 

When you are able to reduce or avoid your tax liability by complying with the provisions of applicable tax laws it is tax planning. And when you are reducing or avoiding your tax liability without complying the provisions of tax laws it is tax evasion as simple as that.

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