What does “willful, illegal attempt to defraud the government by not paying taxes” refer to?

The term "willful, illegal attempt to defraud the government by not paying taxes" specifically refers to tax evasion. Tax evasion involves intentionally misrepresenting or concealing information to reduce tax liability. This can include underreporting income, inflating deductions, or hiding money in offshore accounts. The key aspect of tax evasion is the willful intent to evade tax obligations, making it a criminal offense under tax laws.

Tax avoidance, on the other hand, involves legally planning and acting to minimize tax liabilities, often through deductions, credits, and other legitimate strategies. Tax fraud includes broader fraudulent activities beyond just failing to pay taxes, such as filing false returns, which also encompasses tax evasion behavior. Tax default generally refers to failing to fulfill tax obligations without the specific intent to defraud, rather than an active and willful attempt to evade payment. In contrast to these, tax evasion is a clear violation of tax laws with a deliberate intention to deceive.