AIBU to refuse to pay cash in hand?

I think the problem here is hiring someone who doesn’t want to give you an invoice, not someone who wants to be paid in cash. These are separate things and you are not better than anyone else by not understanding this/assuming things about people based on your prejudices.

Well the fact of the matter is you're making an assumption. You're assuming people that request cash in hand are not declairing it. You have not based this on any facts, just assumptions, and as PP have pointed out there's valid reasons people request cash (or example the charge incurred for every card transaction).

The other fact is your using this assumption as a primary criteria for using a business/tradesperson. Well that's foolish. Surely the primary criteria should be selecting someone who will deliver a quality product/service? Based on reviews and a proven track record.

More fool you if you want to deny yourself the possibly the best service based an assumption routed in belief and not fact.

But salary sacrifice IS tax evasion. that's my point, it's just a legal government backed tax evasion. My salary sacrifice not only enables me to pay less tax but also keeps me in the lower tax bracket.

No it isn’t tax evasion, and It’s not tax avoidance either. It’s a tax planning scheme that works exactly as Parliament intends it to work.

But salary sacrifice IS tax evasion. that's my point, it's just a legal government backed tax evasion. My salary sacrifice not only enables me to pay less tax but also keeps me in the lower tax bracket.

Salary sacrifice means you aren't being taxed on your true salary. In my case I'm only being taxed on two thirds of my salary, which surely is ethically wrong even if it is perfectly legal?

You can sugar coat it as legal, or a smart financial decision, but let's not be naiive it's legal tax avoidance.

I always thought people prefer cash because it avoids charges and its easier etc. A bank transfer is free, but cash avoids having to chase people that promise to pay and don't.
Maybe I'm naïve, but I wouldn't automatically assume that its to dodge taxes. I know a few people who work independently in trades that pay their taxes.

AFAIK it is perfectly legal to pay someone in cash.

It's up to them to make sure the appropriate taxes are paid.

However, very often people who demand to be paid in cash, or offer discounts for cash will not give you a receipt. This is because they do not want a paper trail that links them to ever getting the cash payment that can be used against them.

This is fine, until you want to do something like take them to the small claims court for shoddy work, or they decide to piss off halfway through the job with the cash deposit you have paid and not come back. Because you will have no sensible proof they ever been on the job.

So like most things in life, actions have consequences.

Chinese takeaways in Scotland (my region) don't allow card payments. It bothers me greatly, as it is so obviously a tax dodge, however paying a gardener cih, wouldn't trouble me much.

But it’s actually a little ‘fuck you’ to everyone. Both as taxpayers (others pay more) and as people who rely on public services (others get less).

That’s my life too

ex works cash in hand so pays almost no child maintenance despite living in a 5 bedroom house, mortgage free and has 7 cars

im struggling to pay the bills on my earnings but earn “too much” for government help

Because the bank aren't swallowing it up the minute it hits the account, making sure they can use the cash to buy food etc

I avoid cash in hand too as it doesn’t give me a good feeling about the person. The last person who asked for it was a tiler who then told me he sometimes went and nicked materials off the building site near his house!! I couldn’t get rid of him soon enough and we still haven’t had the tiling done either 😢 😢

Edited for clarity- The reason we haven’t had the tiling done is because we can’t find another tiler. Not because we gave him money and he scarpered.

Exactly. Like it or not in not declaring your income you’re a scuzzy little criminal.

My guess here is that tax evasion is OK when it is paying for little things that you want, but less OK when it is paying for your salary as a teacher.

Not entirely true that someone paying less tax is doing it illegally and thus everyone else pays more tax.

For example, I used to pay my monthly pension contributions after tax and NI was deducted. Then it was pointed out I could pay pension contributions via salary sacrifice (i.e. tax and NI taken after my pension contributions come out).

The result is I pay less tax, I pay less NI, my company pays less NI. I have more take home pay. I am paying less tax but perfectly legal.

Morally though it's one of these loop holes created to benefit employers into paying less tax and to a lesser extent the employee.

Not all companies offer a salary sacrifice scheme. So is it fair that I pay less tax than those that don't have an option to use salary sacrifce? No it probably isn't fair. But it's legal and I'd be absolutely stupid to decline this option and have less take home pay each month.

Keep your moral high ground, because I'm doing what benefits me and my family first and foremost.

Haha, no…my skills are largely excel based and I highly doubt anybody would pay me cash for that. If you want some forecasting models then let me know. My point is, people charge a lot for services you can’t do specifically because you can’t do them, if you don’t want to pay their fees then do it yourself. . If you were paying attention you’ll see I responded to your question of why people charge so much for services.

In what way does getting cash in hand help someone climb out of an overdraft?

Why is it 'fair play' when they are doing something illegal that means that you have to pay more tax? Surely, that's entirely unfair.

I'm a primary teacher, and I know a LOT of teachers, myself included, who offer private tuition, cash in hand. I don't know of any family who have objected to that. None of them are stupid, they all know we're doing it in the evenings as a little extra to help pay for things like activities for our own kids, holidays, etc.

It would be two-faced of me to object to anyone else doing the same thing.

@SabrinaThwaite Thanks for that! It's always good to get the facts and to be given a reliable source. I stand corrected (and a bit embarrassed that I didn't know this before!)

Amen. The people who run the country dodge taxes and piss away our taxes on all the wrong things. Yet OP is living by this naiive moral code of never using anyone requesting cash in hand. I understand for large jobs of not leaving yourself vulernable, should something go wrong and there's potentially a lack of traceability. But for small jobs with someone who has a good rep, I wouldn't have an issue one bit.

Including me as I am a taxpayer.

Far play to anyone who can pay less tax.

Its your choice but its also none of your business how other people decide to take payment
I don't like paying cash as its not as convenient and I have to go to a cash machine to get it but thats the only reason
DS's driving instructor changed to cash only as they were getting charged for every transaction by their bank and its a pain to get cash for each one (plus DS keeps the £3 change each time ) but if it makes their lives easier then fine. If I don't like it I can go elswhere