The difference between tax avoidance and tax evasion is the thickness of a prison wall.

Tax avoidance is a legitimate undertaking, no one is obliged to pay more in taxes than they legally owe. But as Al Capone discovered, the difference between tax avoidance and tax evasion is the thickness of a prison wall. Hiding assets in off-shore bank accounts in order to evade taxation is an increasingly risky business. The U.S. government is stepping up efforts to crack down on offshore accounts and tax evasion. In fact, the IRS is urging taxpayers to disclose their accounts now, before new reporting requirements for overseas banks and changes to tax treaties give the government more information…

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