This report addresses issues related to the extent and nature of misreporting of income and family size on applications for government-sponsored school meal benefits. Findings are reported from 741 in-home audits conducted with school meal program participants in nine school food authorities. In-home audits, which consisted of personal interviews combined with income documentation reviews, were conducted as part of the Income Verification Pilot Project (IVPP), a congressionally mandated study intended to design and test methods of preventing and detecting misreporting on school meal benefit applications. Specifically, chapter 1 provides a brief overview of the IVPP and the present report. Chapter 2 describes the in-home audit sample and procedures, defines key variables, and outlines the analytical strengths and limitations of the sample. Chapter 3 briefly describes the sample in terms of subjects' household characteristics and rates of program participation. Chapter 4 describes program applicants' reactions to a new application form that asked for considerably more information than was collected prior to the 1981-82 school year. Chapter 5 reviews findings from the income determination section of the in-home audit, and chapter 6 discusses findings concerning the extent and nature of misreporting. Chapter 7 explores the topic of income change and its effect on program eligibility. New, application-based, error-prone profiles developed for the school meal program are presented in chapter 8. Finally, chapter 9 offers a brief summary and statement of conclusions. Related materials are appended. (RH)