The use of legally permissible means to reduce tax liabilities is known as tax?

Assessment: JAMB UTME - Economics - 1997 Subject: Economics

Question 1 Report

The use of legally permissible means to reduce tax liabilities is known as tax?
Answer Details
The use of legally permissible means to reduce tax liabilities is known as tax avoidance. Tax avoidance is the practice of using legal methods to minimize the amount of tax that an individual or business owes. This is different from tax evasion, which is the illegal practice of not reporting or underreporting income to avoid paying taxes. Tax avoidance can include actions such as taking advantage of tax deductions, tax credits, and tax shelters. While tax avoidance is legal, it can be controversial because some people argue that it can contribute to income inequality and reduce the government's ability to fund public services. Therefore, the correct option is "avoidance".
Read lesson note on Economics As A Science (JAMB)
View Answer

Related Questions

1

The movement of curve I to ll suggests
2

From the diagram above, the quantity of output is determined by the point
3

Given that at the beginning of 1973, Nigeria with a birth rate of 3% per annum had a population of 75million. This implied that in that year
4

The organization which provides credit to help countries achieve short-term balance in their balance of payment is the?
5

In the diagram below, the curve which represents firm's short-run averagevariable cost is curve
6

An important feature of a cartel is that?
7

In recent years, Nigeria's balance of payments has continued to register a deficit due to (i) increased government overseas' spending. (ii) increasing prices...
8

The current stage of the economy is depicted in curve I. Point P suggests that the economy is

Download The App On Google Playstore

Everything you need to excel in your exams

Green Bridge CBT Mobile App
Personalized AI Learning Chat Assistant
200,000+ Exam Questions Across IGCSE, JAMB, WAEC & NECO
Over 3,900 Lesson Notes
Offline Support - Learn Anytime, Anywhere
Green Bridge Timetable
Literature Summaries & Potential Questions
Track Your Performance & Progress
In-depth Explanations for Comprehensive Learning