Personal Income Tax Avoidance- when legal fringes on unethical
While some tax benefits are your right, forging information to claim tax benefits is a purely unethical practice that prevails around the world. Biggest example being the tech giant Apple, that constantly faces flak for finding unethical, yet legal ways to save billions of dollars as tax money, payable on its international sales.
ZRPC, the personal and corporate income tax consultants in Scarborough, thus cautions you on not trying to bend the tax laws unduly in your favor. Forging information, presenting false evidences and receipts will never take you far.
This trend is most commonly seen in big business giants. When billions are on the table, stakes go high, and tax liability goes out of the window. But we don’t realize the gravity of the situation, when government cites fiscal deficit and refuses to fund environment causes or global healthcare.
Here’s why you should never indulge in this practice.
It’s a Social Responsibility
When an organization saves millions of dollars of tax money, unethically, it’s actually denying a child its right to healthcare and education. It’s denying millions of citizens the benefits they’re entitled to.
In these times when government is curbing spending due to lack of funds, tax theft affects millions of lives adversely. These companies deny the fair share of tax to the government while operating prosperously in that country and enjoying the numerous benefits. This is no less than treachery. It’s a grave form of sedition. If a country gives you, you must return the favor by paying taxes and giving your country its own fair share.
The huge amount of taxes that are unduly saved is used for education, healthcare and infrastructure. Apart from that, we have a responsibility to safeguard our environment and natural resources. All that requires massive funding. Plus rehabilitation of people affected by natural calamities is something that just cannot be overlooked. And the money needed for all this comes from, you guessed it, taxes.
It’s not good for your business too
Let’s face it. Sooner or later, the companies who adopt unethical means to save taxes will come under scrutiny. Even if such a firm invests in share market, the agencies will soon filter them out as trying to aggressively curb their tax liability.
How good a company’s reputation be if it constantly declares itself bankrupt to show negative profits and reduce tax liability? Share prices will plummet. Investors will shy away from investing in any new project of that company. The general reputation of that company among masses will deteriorate.
Yes, we have a short term memory. We forget the unethical business practices adopted by Apple in manufacturing and filing tax returns when we stand in line, waiting for the latest iPhone. But it’s important to remember the repercussions of this tax theft by giants who claim to invest millions for public welfare while saving billions of tax money.
Personal and corporate income tax experts at ZRPC believe in making fair use of the tax benefits entitles to you. Wherever applicable, make proper use of tax tools. But taking undue advantage of tax laws will hurt in the long run.