Earlier quoted context omitted.
In the US, they are very specific, distinct things. Tax Evasion[0] is not paying taxes you legally owe. Tax Avoidance[1] is finding ways to owe less tax. Evasion is considered illegal, but Avoidance can practically be considered encouraged, as it's perfectly legal and rewards practitioners with lower tax bills. [0] https://www.investopedia.com/terms/t/taxevasion.asp [1] https://www.investopedia.com/terms/t/tax_avoida…
Most people reading this are probably aware of the distinction in technical, legal terms. But it doesn't matter, because we're not prosecutors or the IRS. But I still call it tax evasion colloquially, because I'm just an average Joe who can't prosecute anyone so my legal opinion doesn't matter. My judgement is not whether it's illegal, but whether it's immoral and scummy. My neighbor, a self-employed painter, claimin…
Do you contribute to a 401(k)? Deduct home mortgage interest from your taxes? If so, you've participated in legal tax avoidance, too! I don't think either of those are scummy.