Technique of reducing salary tax - 09/21/00
Question
I've been working for 7 years and my salary has grown to an amount that I have to paid quite a big amount of salary tax (e.g. 70K). Is there any means legal and justified (in terms of transaction cost) to reduce my tax ?
Answer
Common areas of salaries tax planning are territorial source, using statutory exemptions and fringe benefits. In general, you need to restructure your salary package with your employer. This will involve to go in detail into the terms of your employment contract and job duties. The cost of such tax planning will depend on the time spend including meeting with you, going through the employment contract and the presentation of a salaries tax planning.