To think cash transactions above £250 should be banned

[coconuttella]

Because let’s face it, the vast majority of cash transactions above that level are done to evade tax in one way or another... and those cash transactions that aren’t could easily be done another way.

"discount for cash may be because the business is not vat registered and its easier and they are not breaking any law because they are under the earning limits, 75k the last time i looked."

If the business is not VAT registered that would be the same for other means of payment as well so that in itself wouldn't be a reason to ask for cash.

discount for cash may be because the business is not vat registered and its easier and they are not breaking any law because they are under the earning limits,

They aren't breaking the VAT rules, no.

They can still be evading income tax, corporation tax, national insurance payments and a wide range of other things.

A reverse anecdote. A Chinese restaurant we used to frequent was amazingly good, amazingly cheap and very keen indeed for you to pay by card, to the point they would repeatedly proffer the option if you were paying cash or writing a cheque (this was twenty or more years ago). It turned out they were using it to launder money: they had a (legal) casino upstairs and paid the food wholesalers and the staff in cash that came in via the gaming tables, so were avoiding gaming duty. A neat scam.

Abolishing cash is the wet dream for Central bankers. I am happy to tolerate the black economy to the extent of little people making ends meet because cash keeps the real crooks honest and by that I mean the Central Bankers (acting on behalf of their clients, Governments). This narrative that only crooks use cash is widely pedalled by the establishment but before swallowing that line understand the concept of financial repression.

en.wikipedia.org/wiki/Financial_repression

If you still think abolishing cash is a good idea then you haven't understood the point (or you are a Central Banker).

Let me illustrate. The financial crisis resulted in 400bn of 'quantative easing' and almost zero interest rates. Basically a transfer of wealth from the creditors (savers) to debtors (the biggest beneficiaries being banks and government). A cashless society would make the Central Banks job easier and force everyone to participate (especially as negative interest rates would become an enforceable reality, if they tried that now you could simply keep your wealth in cash). Really, abolishing cash is a surefire way into serfdom. Ok, the black economy is 'bad' but not as bad as regularly taking your money and giving it to the banks everytime they need a bale out for their greed and stupidity.

Apollo440 what you describe is effectively already in place. The total value of cash in circulation in the UK is only £73 billion - compare that to the total wages earned in in 2017 of £850 billion and a GDP of £1,972 billion.
Less than 4% of the UK's earnings are held in cash.

According to the 2014 Bank of England article on how money is created, 97% is commercial bank deposits. So cash can't be more than 3%. (It may be less, as I think central bank reserves are another form of money that is separate from cash and commercial bank deposits.)

(In fact I've just googled something which says cash is about 25% of M0, so that means cash is less than 1% of all money, assuming we take M1 as money.)

I'm not sure what your calculation shows, ifailed. Why would you expect the cash in circulation to be remotely close to the total annual wages, even in a 100% cash economy? If you were paid in cash and dealt only in cash, there is still no point in the year when you would hold a year's salary in cash.

I loath tax evasion. Really loath it. But cash is legal tender and I really resist any further erosion of our liberties by curbing the way in which we choose to spend it.

But cash is legal tender

I would stake a round of drinks that most people who invoke "legal tender" in these sorts of debate have no idea what "legal tender" means. As others have asked upthread, what is the relevance of the concept of "legal tender" to this discussion?

What exactly has it got to do with you? There are many reasons for using cash. eBay cash transactions are very useful.

I’ve just sold one of my cars... knocked some money off for cash. Why should I and the buyer had to have buggered about paying fees by other means and I prefer not to give my bank details out for a bank trf. Neither of us were doing anything illegal. As such, yes YABU.

Plus, I work hard for MY money, if I want to pay cash then why should I be limited to a ceiling amount when I’m doing nothing wrong except pay for something.

coconuttella
I pay with cash all the time because I’m sick of being traceable in every frigging way. Next week, I’m not planning to use my card at all

Absurd paranoia

From the one that thinks all cash transactions are tax evasion.

YABU - I just prefer working with cash, doesn’t mean it’s not going through the books.

eBay cash transactions are very useful.

Indeed. You invite a naive purchaser to pay cash, giving them a discount, and they have by doing so stepped outside such buyer protection as eBay offers. You buy someone on eBay, but pay cash. It turns out to be stolen/mis-described/an empty box. You're fucked. I'm not saying the protection eBay offers for Paypal transactions is amazingly good, but it's a great deal better than nothing.

The same applies, with knobs on, for the difference between cash transactions and payment card transactions subject to S.75 of the Consumer Credit Act.

YABU.

Other methods of payment frequently involve either fees or providing extra details about yourself (invasion of privacy). I much prefer taking a alrge amount of cash from the bank and then using it to pay out as needed.

It is offensive to ASSUME that anybody paying cash is seeking to evade tax, VAT or anything else.

If you prefer to not pay cash then that's your choice BUT have the decency to not force your choices on the rest of us.

Frankly, I often wonder whether posts of this nature are genuine. Does somebody REALLY hold that view? Or is this some subtle sounding board for a governmental body seeking greater "big brother" scrutiny of us all? What's next obligatory CCTV in everybody's toilet?

Lots of people get paid in cash. I used to do tutoring and most clients gave me cash. I put every payment through my books for tax, but dh & I used to keep all the cash for day to day expenses and use his salary for bank payments. I used to do a big supermarket shop once a month that would easily be £300+ cash and have often paid cash for high cost things like furniture. I imagine many dog walkers, gardeners, musical instrument teachers, cleaners, caterers, cab drivers and others could be in a similar position - not everyone gets a salary paid direct to their bank every month.

I regularly receive cash for jobs in excess of £250 and I declare tax on every last penny. The problem is people without morals avoiding paying what they owe, not the method of payment.

£250 is not a large amount of money, I have taken that amount out my branch many times, to buy a washing machine, to buy a lap top, to buy a car and just to go clothes shopping.

Re: your reply to "I pay with cash all the time because I’m sick of being traceable in every frigging way. Next week, I’m not planning to use my card at all." and your reply 'Absurd paranoia' - my reply to you would be
Do not forget Facebook are facing and not really answering very serious questions regarding information gleaned without permission or knowledge from users and this was first set up to be user friendly etc.
Is it any wonder we do not trust the big corporations anymore? If you pay on-line you are targeted for further marketing without consent.
Banks do it, government etc. I really think a lot of people are more cautious about their details being used.

I have to say your comment about people on low income spending £250 cash is more than patronising as without details or info its not known whether its once a lifetime, year etc. How can you judge or make statements?
Are you doing a survey or a journalist by any chance?

Not everyone is computer literate and banks charge for banking cash, so it’s sensible for business to pay for items with cash to save money

Oh and Facebook do sell on your phone number
Banks will sell on information about your spending habits

I love cash. There’s nothing like a big wad of tax free cash.

Who made you a decision maker for the world. Nobody cares about your opinion

None of your business what people use cash for yabu

I only use cash - YABU