Although most types of fraud are relatively minimal, some tax advisors would put the blame on the economy.
Tax advisor, Colleta Shane says, "The past seven years, the economy has been kind of rocky. So, I think that has kind of pushed people to think that they need to push the envelope a little bit further."
The most common type of fraud, earned income credit, is one that may be misunderstood when filing your taxes.
Sandy Souder of Liberty Income Tax says, "There's a lot of misconception about earned income credit and what's needed to qualify."
After a tax fraud has been committed, you can count on the IRS to audit you in the future.
But if somebody were to leave out a couple hundred dollars of income on their report, the ramifications would most likely be minimal.
Tax professional Chuck Harkins says "They would probably have to pay the tax, they'd probably have to pay the fine, a little penalty, maybe some interest on it. Not major ramifications on that."