By Guest Contributors on February 23, 2010
Good morning all. I am at Holt Renfrew drinking expresso and waiting for Michelle, my significant other to finish with her hair appointment. Anyone else realize that this is a 4-hour experience?
Anyway, as you may know, I am not a tax lawyer, CA or CPA. I am a student at the Thomas Jefferson School of Law working at masters in international tax law. The other day one of my professors (Sails) came up with a very interesting Venn diagram. I will try and draw them below.
Why I find these diagrams and his explanation of them interesting is the subject of this blog. I have been on the periphery of the tax planning business for 25 years and over the last few years something very interesting is happening. In the olden days (the only person older than me is Gary) there was a clear distinction between the terms evasion and avoidance when it came to tax planning. The last few years have seen the definitions blur terribly. What the ruling bodies deem as evasion has grown dramatically as you can see illustrated in the diagrams and it’s very true. It has become much more difficult to ascertain what represents prudent planning now and what might be considered too aggressive or even evasion in a year or more.
What does this mean and or what is the point? Get help. Seek out a trusted advisor that can help you navigate these waters, they are treacherous and its important that someone points outs out the pros and cons…. the real value if you will of any tax plan for any purpose.
Till next time. Stay well
DL
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- Long-Term Thinking: 1800-2013 - January 23, 2014
- “The Rest of the Story” – Upbeat Outcome or Not - January 9, 2014
