Tax evasion is illegal while Tax avoidance (tax planning) is not.

Tax evasion typically involves individuals, companies, trusts and superannuation funds miss representing their accounting and taxation affairs (tax position) to the Australian Taxation Office (ATO).

However, Tax avoidance or Taxation Planning which is legal, uses the various taxation acts, regulations and various ATO rulings and guidance to reduce a tax position, i.e., pay the minimum amount of tax as required by law.