Comment by AmericanChopper
Comment by AmericanChopper 2 days ago
Those two concepts are very much the same thing. There is no literally distinction between legally minimising the taxes you have to pay, and legally avoiding a tax that you would otherwise have to pay. You just want to have a different word to use to criticise people/groups/companies you don’t like doing something you seem to otherwise approve of, so you don’t look like a hypocrite.
My accountant defined it this way… minimization is legal, avoidance is not.
Minimization is just taking advantage of the tax loopholes and strategies that are within bounds. Avoidance is lying or ignoring.
Yes it’s possible to minimize your taxes down to zero legally in many cases, but you’ll pay a good percentage of that savings to accounts and lawyers for managing that structure.