Why is tax planning necessary?

Tax planning is a part of financial planning, and it varies from person to person depending on factors like the amount of taxable income and existing investment plan. Following are the concise reasons for tax planning: - The primary goal of tax planning is to minimise tax liabilities by restructuring an individual's activities in compliance with the requirements of the law as outlined in fiscal regulations.- Efficient tax planning in accordance with taxation regulations can reduce the risk of litigation.- Diverting taxable income into various investment schemes is also one of the primary priorities of tax planning, which turns earnings into ways to earn additional earnings.- It is the duty of every citizen to do effective and rightful tax planning in order to benefit not just individuals' progress and prosperity but also the growth of a country's economy.