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- Dictionarytax a·void·ance/taks əˈvoidns/
noun
- 1. the arrangement of one's financial affairs to minimize tax liability within the law.
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noun
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Minimization of taxes paid, through legal means
Tax avoidance is the legal usage of the tax regime in a single territory to one's own advantage to reduce the amount of tax that is payable by means that are within the law. A tax shelter is one type of tax avoidance, and tax havens are jurisdictions that facilitate reduced taxes. Tax avoidance should not be confused with tax evasion, which is illegal. Both tax evasion and tax avoidance can be vie... Wikipedia