I would argue that someone “who qualifies for lower threshold levels” is not cheating. They have by definition “qualified” for those more favourable levels.

Whereas, someone who falsely holds their BAEC account in another country to benefit from lower thresholds than those permitted in their home country is indeed “cheating”

A selection from www.dictionary.com

cheat
–verb (used with object)

to defraud
to deceive, influence by fraud
to elude, deprive of something expected

–verb (used without object)

to practice fraud or deceit
to violate rules or regulations
to take an examination or test in a dishonest way

–noun

a person who acts dishonestly, deceives, or defrauds
a fraud, swindle, deception

I dunno but “cheat” & “cheating” seems fairly derogatory to me