The modern state knows a number of tax forms that allow the taxation of all indicators of economic strength. However, with the growth of the tax burden, the resistance to paying taxes also increases. In parallel with the development of tax forms, people have developed various legal and illegal ways to avoid paying taxes. The paper defines different types and forms of tax evasion and is difficult to measure because it is difficult to measure losses. One way of tax evasion is to store profits in tax havens with very low or zero tax rates. It can be legal or illegal, it depends on a number of factors, and tax morality is closely linked to tax evasion. Tax evasion, especially illegal evasion, is a serious problem for Croatia, so the new tax reform should be considered in the context of tax evasion. This paper analyzes the concepts of tax and tax evasion and their impact on society as a whole.