From the abstract of an article summarizing interviews with 115 recipients of the Earned Income Tax Credit, the largest anti-poverty program in the United States:
Rather than adjust work hours, defer marriage, or have additional children, respondents exhibit a different type of behavioral response to the incentive structure of the EITC: They alter their tax filing status in order to maximize their refunds. They routinely claim zero exemptions and deductions on their W-4s, file their tax returns as head of household rather than as married, and divide children among the tax returns of multiple caregivers. Although some of these behaviors qualify as tax noncompliance, they emerge because the intricacies of the tax code conflict with the complexity and fluidity of finances and family life in low-income households.
In ordinary, non-academic English, “tax noncompliance” by making false statements on federal returns would usually be called cheating. How this “tax noncompliance” is understandable because family life in low-income households is complex with “fluidity of finances” we leave to readers’ comments below.