A woman claimed £6,674 benefit while she was working, Banbury magistrates heard.
Tina Colley, 34, of Woodfield, Banbury, admitted three charges of fraud and asked for two other offences to be taken into consid- eration.
She was sentenced to 100 hours community service and ordered to pay £200 costs.
The case was the latest in a crackdown by Cherwell District Council to cut bogus benefit claims.
The court heard that Colley was receiving working families tax credit and failed to tell the council and the Department of Work and Pensions that she was in employment.
The district council is in the top one cent of local authorities across the country for analysing benefit data and successfully investigating suspect claims.
The Housing Benefit Matching Service -- part of the Department of Work and Pensions -- is to highlight Cherwell's expertise in a national newsletter. The council's benefit investigation unit is also being asked to take part in a national fraud seminar later this year.
Ray Gasson, the council's executive member for resources, said: "The team of anti-fraud staff at the council have had a great deal of success in uncovering fraud and prosecuting those who commit it."
The council runs a free- phone confidential hotline -- 0800 716152 -- for people to report suspected fraud.
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