AIBU to be so sick of tradespeople/ cleaners asking for cash in hand?

That's what happens when people are over-taxed. They find ways to avoid it.

I use more cash now than I have done for years. Plumber, tree surgeon, even my hair salon now only takes cash although he does it to avoid bank charges. And the plumber declares up to just below the VAT limit to avoid the paperwork.

People are struggling and resent the fact they work 40 hour weeks while others sit on their bums and play the system. The govt may be fools but plenty of people are not.

I have always worked PAYE, paying higher rate tax but I don't blame them.

I totally agree. And I report each and every one of them to HMRC, because if they're operating legitimately they have nothing to worry about.
www.gov.uk/report-tax-fraud

Avoiding declaring turnover to avoid the VAT threshold is avoiding paying tax that they should be.

Yes however the cash option brings his profit down 1,800 so if he’s a limited company reduces corporation tax.

Same here. I’ve never had anyone ask for cash. It would fuck up all our insurances for a start.

asking for cash doesn't mean someone's not paying tax. I can mean they can pay for materials in cash, or pay another trade in cash. I wouldn't just to the conclusion that they aren't paying tax

Can’t they just as easily pay those by card or bank transfer? I don’t understand why anyone would be cash only nowadays. The only reason for most people is to avoid a paper trial surely? I can understand older people who aren’t good with technology and have done things forever with just cash but realistically that type of person is likely close to retirement or already retired.

I honestly don’t care as long as I get a receipt /invoice for the work. I pay my window cleaner & recently a plumber in cash. I’m not the arbiter of morality.

I’m the same. How can we have a functioning society without taxation? It’s a necessary evil. We can’t have a European-style social democracy with US levels of taxation.
I know people paying cash for a significant amount of weekly work, every week. No NI getting paid either. The system is fucked and they seem to have no conscience about it. They are actually quite proud of how clever they are being.

I've heard people make the arguement that they don't use public services at all so don't see why they should pay tax

anyone would be hard pressed not to use pavements, street lights, roads, or rubbish collections

I am self employed. If someone asks to pay in cash I will accept it, but every penny gets declared. It's always handy to have some cash around, but we are not all dodgy.

If he was knocking £200 for you paying cash surely you would be paying less, not more?

I think the cleaner the small amount is going to get a lot taken off with bank charges so I can see her point. it's not a lot of money to absorb the charges..

Being on the vat threshold doesn't mean you earn lots it just means you turnover lots? I know someone who has a small business employing a couple members of staff who had to go vat registered a couple years ago due to higher turnover, but in fact she barely earns minimum wage (& definitely doesn't always even pay herself that)....

Although to add to the thread, I hate cash only also. Not helped by the distinct lack of cash machines on our high Street...!

He is offering you not to pay the cash, you just say you’ll pay the full amount

Hard agree. I lost an amazing cleaner over this. The fathers that get away with low child maintenance I think is an awful situation

I would possibly do the odd - have £50 for a favour job on a Saturday morning. Eg a builder friend of mine had some tiles off me he knew I had hanging around so gave me £50. I still felt guilty about that and gave £5 to charity!

100% agree with you OP! And well done you for sacking that cleaner.

I've heard people make the arguement that they don't use public services at all so don't see why they should pay tax... Ridiculous and impossible.

I've also known a public servant try to cut down their tax bill on some property they used to rent out and felt baffled by their motivation to do that, like you're a well-off individual whose main income is a job that is funded by the taxpayer, how can you not see the benefit in people paying tax when you deliver a helpful public service everyday?!

VAT threshold is done on turnover. Not profit.

example being builder on a job that pays 80k could have 45k of materials to buy. And be making 35k income/profit. Once they got over 90k turnover they need to pay /charge VAT so like to keep under the threshold so not to price themselves out of jobs by needing to add 20% to the bill.

asking for cash doesn't mean someone's not paying tax. I can mean they can pay for materials in cash, or pay another trade in cash. I wouldn't just to the conclusion that they aren't paying tax.

Try finding a nail bar that accepts anything but cash, there are thousands of them up and don’t the country. They avoid income tax and business rates

thousands of people getting their nails done & they must realise what’s happening?

It does if everyone insists on paying by bank transfer because he can’t hide his income.

We all benefit from the UK tax pot, so we should all contribute.

yes I hate it. We all have to pay that bit more because some people aren’t paying their fair share, and yet they have the gall to ask me to help them dodge it

I'm self employed. I don't take cash.

I agree with you. I won't use businesses that do this.

The guy who was supposed to to do oour boiler quoted us x price +Vat and then said if I paid cash he would knock off £200 off the full VAT price.

So actually wanted to be paid more for the work if paid cash.

People always say the cost of the work is the cost. But in this example...?