Reducing Tax Avoidance by Changing Structures, Processes and Drafting
TAX AVOIDANCE AND THE RULE OF LAW, IBFD Publications and Australian Tax Research Foundation, Amsterdam, 1997
Victoria University of Wellington Legal Research Paper Series Richardson Paper No. 5
22 Pages Posted: 12 Sep 2012 Last revised: 21 Feb 2015
Date Written: 1997
Abstract
This paper argues that there is too great a reliance placed on anti-avoidance provisions, discretions reposed in the revenue, and judicially developed doctrines as a means of countering tax avoidance. In view of the difficulties in defining and countering tax avoidance, it is suggested that there should be a greater emphasis on reducing incentives for tax planning, changing legislation drafting approaches, restructuring the Government’s tax collection organization, and reorganizing the tax collecting system to recognize and reflect the features of modern tax collecting that affect tax avoidance. The problems inherent in the current system are discussed as well as the changes which should be made to correct these problems, with a view to improving tax collecting overall.
Keywords: tax avoidance, anti-avoidance provisions, tax legislation, tax agency, the judiciary, legislative drafting, statutory interpretation, tax collecting, tax policy
JEL Classification: D73, D78, E62, H20, H21, H24, H25, K23, K34
Suggested Citation: Suggested Citation