Tax evasion differs from tax avoidance in the sense that evasion
A)is easier
B)can only be done through an accountant
C)is legal
D)is illegal
E)is encouraged by the Internal Revenue Service

Question

Quizplus · Accepted Answer

Tax evasion is the illegal act of not reporting income or other taxable items on a tax return with the intent to evade taxes owed. Tax avoidance, on the other hand, is a legal strategy used to minimize tax liability by taking advantage of legal deductions, exemptions, and loopholes.

Tax Evasion Differs from Tax Avoidance in the Sense That