A common misconception in society is that tax avoidance is illegal, but in actuality it is a perfectly legal practice; in most cases, the opportunities to avoid tax were actually purposely created by the government to encourage certain behaviours.

The reason why this misconception exists is likely due to people confusing it with tax evasion, which is definitely illegal, but the process of that is quite different. Tax evasion is the practice of hiding income and wealth from the government, which causes them to underestimate how much they’re owed in tax. Tax avoidance is simply taking advantage of loopholes; there is still full disclosure.

So how can you avoid the full burden of your taxes?

Tax loopholes can be applicable to you or your business without you even being aware. There are a variety of loopholes which most people can use to save a proportion of what they would have paid in tax, but in addition to the ones you’re already entitled to take advantage of, there may well be more loopholes that you can proactively work towards gaining access to.

A lot of these loopholes can be researched by yourself; the information regarding taxes is freely available and provided directly by the government. This doesn’t mean that you’ll be well suited to the task though, and you may find that it is an efficient use of your money to ask the advise of a financial advisor, accountant, or lawyer.