Tax Planning, Tax Evasion, Tax Avoidance, Tax Management
Tax Planning, Tax Evasion, Tax Avoidance, Tax Management
Tax Planning, Tax Evasion, Tax Avoidance, Tax Management
Approach It is futuristic and positive It is futuristic but short term It is concerned with past It is a continuous
in nature. The planning is in nature, as loophole of the and applied after the approach, which is
made today to avail benefits law will be corrected in liability of tax has arisen. It concerned with past
in future. future by amendments of is done with negative (rectification, revisions
the law. approach to avail benefits etc.), present (filing of
by killing the moral of law. return, etc.) & future
(corrective action).
Points of Tax planning Tax Avoidance Tax Evasion Tax Management
distinction
Benefit Generally, arises in long Generally, arises in short Generally, benefits do Penalty, interest &
run. run. not arise but it causes prosecution can be
penalty and prosecution. avoided.
Treatment of Law It uses benefits of the It uses loopholes in the It overrules the law. It implements the law.
law. law.