Personal Finance

If you’ve thought about squirreling away cash from your side gig and hiding it from the Internal Revenue Service, you are not alone.

A recent study by Credit Karma Tax showed that 6 percent of about 2,000 people polled ‘fessed up to fibbing on their taxes.

“We found that most Americans really want to pay the right amount of tax,” said Rick Chen, a spokesman for Credit Karma Tax. “They’re focused on paying their fair share.”

There’s a price to pay for trying to get around the IRS.

“Not reporting your income, or tweaking your income so that you fall below a certain threshold to take advantage of a tax credit, is against the law,” said Chen.

Common fees levied by the IRS include failure to file, which carries a penalty of 5 percent of the unpaid tax, and failure to pay, which has a penalty of 0.5 percent of the tax not paid by the due date.

In more egregious cases, however, individuals who evade their taxes may be found guilty of a felony and face up to five years in prison and $250,000 in fines.

Here are the areas where filers have admitted to being less than honest with the IRS, according to Credit Karma Tax.

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