Witkowska Joanna, GAAR as a solution to the problem of tax avoidance - the threats and benefits

Tax avoidance is method of tax burden reduction which id based on creating the tax actual state of affairs in order to reduce the height of the tax. It is a kind of substitution . Tax avoidance enables taxpayer to create in various ways in terms of tax law identical economic actions. This allows to achieve different height of the tax burden. In other words, it is the replacement of one action by another that causes similar economic effects established by the taxpayer, however this replacement entails lower tax burden or even eliminates it . As an example the financing the company by the shareholder through equity capital or long-term loan is economically identical, but taxation of remuneration (dividends or interest) is different in terms of particular tax . Another example would be resignation of purchase of real estate in order to avoid payment of tax on civil law transaction, and only a conclusion a long-term lease contract of that property, as the lease contractis an activity not...