Meaning of term Tax-evasion under Indian Tax
The details about Tax-evasion are explained here.
Tax-evasion
An act or instance of escaping, avoiding, or shirking something: evasion of one's duty. the avoiding of an argument, accusation, question, or the like, as by a subterfuge: The old political boss was notorious for his practice of evasion.
To enhance the detection of evasion, Govt. has framed the system of rewards to the people, who help in the detection of Tax evasion.
Government functions with the help of the taxes collected from the citizens. The tax levy is a system, which is generally not to the liking of the public. Hence, the tax evasion is the major field, where Government revenue is lost. To enhance the detection of evasion Government has framed the system of rewards to the people who help in the detection of the tax evasion.
Government of India is ready to give attractive and handsome rewards to the Informers who provide specific tip off / information leading to the detection of duty evasion of Central Excise duty. A small tip off from you, may yield big harvest to the Government. The maximum amount of reward to the informers is as high as 20% of the duty (evaded and realised) and penalty (realized). In case, if you have any specific information to give, you can contact any of the officers of Central Excise and Customs. You can also make use of the directory available in this web site. Your name and identity will be kept absolutely confidential. You may also give similar information pertaining to Customs and Narcotics.
Tax evasion is the illegal evasion of taxes by individuals, corporations, and trusts. Tax evasion often entails taxpayers deliberately misrepresenting the true state of their affairs to the tax authorities to reduce their tax liability and includes dishonest tax reporting, such as declaring less income, profits or gains than the amounts actually earned, or overstating deductions.
Tax evasion is an activity commonly associated with the informal economy. One measure of the extent of tax evasion (the "tax gap") is the amount of unreported income, which is the difference between the amount of income that should be reported to the tax authorities and the actual amount reported.
In contrast, tax avoidance is the legal use of tax laws to reduce one's tax burden. Both tax evasion and avoidance can be viewed as forms of tax noncompliance, as they describe a range of activities that intend to subvert a state's tax system, although such classification of tax avoidance is not indisputable, given that avoidance is lawful, within self-creating systems.
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