MANAGEMENT

Detailed explanation-1: -Tax evasion occurs when a person or business illegally avoids paying their tax liability, which is a criminal charge that’s subject to penalties and fines. Failure to pay proper taxes can lead to criminal charges.

Detailed explanation-2: -Tax evasion is an illegal method of minimizing tax liability. Tax avoidance, on the other hand, is a legal method of reducing the amount of taxes that you owe.

Detailed explanation-3: -Tax evasion is the illegal non-payment or under-payment of taxes, usually by deliberately making a false declaration or no declaration to tax authorities – such as by declaring less income, profits or gains than the amounts actually earned, or by overstating deductions. It entails criminal or civil legal penalties.

Detailed explanation-4: -Hiding, concealing or manipulating the information about one’s income with the tax authorities is known as tax evasion.

Detailed explanation-5: -An attempt to conceal income from the Income Tax Department is a very common method of evading taxes. For example, a taxpayer does not disclose their true income in their ITR, conceals the details from the department, and thereby pays lower taxes.