Tax+planning

Tax planning is logical analysis of a financial situation or a plan seen from a tax perspective, to align financial goals with tax efficiency. The purpose of planning tax is to discover how to get all elements in a financial plan in the most tax efficient way. Taxable people and companies may try to minimize their tax level through tax planning. In these cases circumstances and measures that gives the best optimal end result are chosen. When tax planning, measures that are approved in the taxation legislation are usually chosen. Measures for minimizing of the tax level can also be tax benefits that are not allowed in the tax legislation. Legislation about tax planning says which measures are legal. General clause 28§ in the Finnish legislation in about law about the taxation procedure gives guidelines for what evasion of tax in the Finland is. **Aggressive tax planning**  During recent years many countries have witnessed a proliferation of aggressive tax planning schemes and have been forced to develop various responses to address the risk such proliferation poses to their tax base. Aggressive tax planning refers to the situation when there is a reasonable probability that a particular tax return stance will not be upheld by an audit or sub sequent legal challenge. Due to the uncertainty od the final deposition aggressive tax planning is a risky choice. Many in the tax planning industry argue that they are only responding to the demand of the clients, although the truth often is that clients has been based on trust lead to invest in aggressive tax planning schemes. These responses against aggressive tax planning range from targeted or general anti-avoidance rules to new penalty regimes for taxpayers and scheme promoters. Governments also include litigation strategies and measures to focus resources on particular taxpayer segments. Corporations CEOs and boards the government try to encourage considering good tax compliance as part of their good corporate governance agenda. Measures to underpin any response to address aggressive tax planning is the availability of timely, targeted and comprehensive information.

** Tax planning and European Union ** The European Union is fighting illegal tax planning and is trying to do this by implementing different measures for making it easier paying tax and to minimize the incentives to evade taxes. One of the measures taken in to use in April 2013 is a platform for good governance in tax. This platform is a diagram which show the EU countries taking steps addressing the tax planning problems and fighting tax havens and also aim to ease the dialogue between the different stakeholders which possible lead to a better coordination and making it possible for EU effectively fighting tax avoidance, tax evasion and VAT fraud. Algirdas Šemeta, commissioner responsible for matters relating to taxation, customs, statistics, audit and anti fraud said the following which highlight the importance for EU fighting illegal tax planning: // " By combating tax evasion, we fight to protect our tax system's fairness , competitiveness of our economies and our Member States' solidarity.There is so much at stake that we just can not lose the battle.The renewed enthusiasm among the Member States to take up the fight is more than welcome , and must now be translated into action . The plat form launched today will keep the Member States on the ball. It will ensure that the results in the fight against tax evasion in line with expectations . " //