As Yakoff Smiranoff used to say ! Buddy of mine calls me today about his stepdaughter. Says her "lazy butt" worked for a total of 1400ish bucks last year (W-2) and got back over $7,000 in Earned Income Credit refund. (she has 2 kids by 2 different daddies). I said "So how did that work again....sounds a bit low for that much refund" He says "The gal at H&R Block told her file a Schedule C along with her W2 earnings and claim she made another 12k in cash from house cleaning for folks. That puts her total income at around 13.5k, enough to get back that much refund even AFTER paying 1800 bucks for social security (self employment tax rate). By keeping the refund under 10k (she would have maxed out the EIC with an income of 21.5k according to my tax guy I called after this conversation), she is pretty much assured no live agent will question the obvious asking for some proof of this phantom house cleaning service (again, according to my tax guy....they don't have the manpower to pursue under 10K scams). The most he says will happen is an 'electronic' audit where they might ask for some small amount of proof, but if that is provided, they drop it. My tax guy says all kinds of people doing it....there's probably a 'how to' on YouTube......ahahahaaaa "Is theese a great Kuntry, or what ?" Remember this as you drag yourself out of bed and go to work.