Avoidance vs evasion

Tax avoidance (i.e. structuring your affairs in order to pay less tax) is legal. However, tax evasion (i.e. acting in an illegal manner in order to pay less tax) is a criminal offense. Rich individuals and large trans-national companies such as Google and Apple pay very little tax – including here in Australia. Their favorite method of dodging the tax bill is by using tax havens.

Below is a report from the Australian Council of Trade Unions that details such tax loopholes.