Is changing the amount of miles you drive so that you can pay a lower tax...

Is changing the amount of miles you drive so that you can pay a lower tax on mileage-based fees Tax evasion or Tax avoidance, please explain why

Expert Solution

First of all let us know what is mean by Tax Evasion and Tax Avoidance.

Tax Evasion : Tax Evasion is the attempt to avoid tax through illegal means like misrepresentation of facts.

Tax Avoidance : Tax Avoidance is the evade/minimise tax using the legally available means . Here the main intention of the tax payer is to avoid tax tax and any arrangement has sole purpose only to minimize tax and the transaction donot have a commercial substance .

In the given question the tax payer is trying to change the amount of miles driven that means he is falsely misrepresenting the facts inorder to avoid tax.

Hence this is a case of TAX EVASION

jeff jeffy answered 2 years ago

How can Congress raise or lower effective tax rates without changing marginal tax rates?

you currently drive 300 miles per week in a car that gets 20 miles per gallon...

you currently drive 300 miles per week in a car that gets 20 miles per gallon of gas. you are considering buying a new fuel-efficient car for $12,000 ( after trade-in on your current car) that gets 50 miles per gallon. Insurance premiums for the new and old car are $900 and $500 per year, respectively. you anticipate spending $1300 per year on repairs for the old car and having no repairs on the new car. assume gas costs $3.50...

2013 Corporate Tax Rates If Your Taxable Income Is You Pay This Amount on the Base...

2013 Corporate Tax Rates If Your Taxable Income Is You Pay This Amount on the Base of the Bracket Plus This Percentage on the Excess over the Base (Marginal Rate) Average Tax Rate at Top of Bracket Up to $50,000 $0 15.0% 15.0% $50,000 - $75,000 7,500 25.0 18.3 $75,000 - $100,000 13,750 34.0 22.3 $100,000 - $335,000 22,250 39.0 34.0 $335,000 - $10,000,000 113,900 34.0 34.0 $10,000,000 - $15,000,000 3,400,000 35.0 34.3 $15,000,000 - $18,333,333 5,150,000 38.0 35.0 Over...

Rebecca wishes to estimate the mean number of miles that her Nissan Versa can drive on...

Rebecca wishes to estimate the mean number of miles that her Nissan Versa can drive on a full tank of gas. She fills up her car with regular unleaded gasoline from the same station 9 times and records the number of miles that she drives until her low tank indicator light comes on. Construct a 96% confidence interval for the mean number of miles that she can drive on a full tank of gas until the low tank indicator light...

On a drive of 800 miles how much CO2 do you release in to the atmosphere...

On a drive of 800 miles how much CO2 do you release in to the atmosphere in kilograms. Assume your car consumes 24 miles to the gallon.(Your gas is 100% octane, and has a mass of 2.9 kg/US gallon)

2018 Individual Tax Rates Single Individuals If Your Taxable Income Is You Pay This Amount on...

2018 Individual Tax Rates Single Individuals If Your Taxable Income Is You Pay This Amount on the Base of the Bracket Plus This Percentage on the Excess over the Base (Marginal Rate) Average Tax Rate at Top of Bracket Up to $9,525 $0 10.0 % 10.0 % $9,525 - $38,700 952.50 12.0 11.5 $38,700 - $82,500 4,453.50 22.0 17.1 $82,500 - $157,500 14,089.50 24.0 20.4 $157,500 - $200,000 32,089.50 32.0 22.8 $200,000 - $500,000 45,689.50 35.0 30.1 Over $500,000 150,689.50...

Changing the mean and standard deviation of a Normal distribution by a moderate amount can greatly...

Changing the mean and standard deviation of a Normal distribution by a moderate amount can greatly change the percent of observations in the tails. Suppose that a college is looking for applicants with SAT math scores 750 and above. (a) In 2015, the scores of men on the math SAT followed the N ( 527 , 124 ) distribution. What percent of men scored 750 or better? A) 96.41 % B) 1.36 % C) 0.96 % D) 1.80 % E)...

Can BlackRock (Investment management) lower the cost of education? If so how?

In the deferred tax worksheet, can you explain the concepts of calculating the future deductible amount...

In the deferred tax worksheet, can you explain the concepts of calculating the future deductible amount of plant/ equipment? Is it just cost minus the accumulated depreciation of plant/ equipment (Tax) ?

Let p and q be the propositions p:You drive over 65 miles per hour. q: You...

Let p and q be the propositions p:You drive over 65 miles per hour. q: You get a speeding ticket. Write these propositions using p and q and logical connectives. a) You do not drive over 65 miles per hour. b) You drive over 65 miles per hour, but you do not geta 1 speeding ticket. c) You will get a speeding ticket if you drive over 65 miles per hour. d) If you do not drive over 65 miles...

Question