Final answer:
The statement that deferring income to a subsequent year is considered to be tax avoidance is True because Tax avoidance involves legally strategizing to minimize tax liabilities, often through timing, choice of investments, and other legal means.
Step-by-step explanation:
Deferring income to the next year can be a legitimate tax planning strategy, for instance, if an individual expects to be in a lower tax bracket in the subsequent year, they might defer income to reduce their current tax liability.
Companies also have the option to use certain technologies or methods to legally avoid taxes imposed by state or local governments. However, it's important to differentiate tax avoidance from tax evasion, which is illegal and involves intentionally not paying taxes owed through various means such as underreporting income.