To want to pay cleaner by bank transfer not cash.

[Starryskiesinthesky]

Cleaner wants paid in cash but I never have cash so would prefer to pay by bank transfer. Fact she wants cash makes me think she’s not declaring it. What do others do and do you care if they are not declaring it? £15 per hour if it makes a difference. Thanks.

@chocolateorangeinhaler

When the OP does a tax return I guess, as an outgoing. Obvs if you don't do your own tax return nobody will know.

Again What are you on about?

Who only declare expenses if it was related to your business

We don’t pay our cleaners NI and tax because we haven’t entered into a PAYE settlement agreement. Even if we did, we wouldn’t be paying them enough to qualify for employer NI contributions.

You don’t treat them as an employee (which has more implications than tax and NI) because they meet the criteria for being self employed (list includes things like being able to send somebody else to do the job because you are selling a service, controlling when you work etc. etc., number of clients)

HMRC look at the nature of work being done, and a cleaner will generally meet the criteria for being self employed, although a nanny won’t.

I don’t think there is any mechanism for ‘declaring’ cash payments to somebody who is providing goods or a service. (Unless large amounts that come under money laundering legislation) I’d be interested if somebody can provide a link.

merrymouse

👍🏻
It’s all in response to someone upthread asking why, if we are employing someone to do a job for us, aren’t we paying employer NI.

The simple answer is as you say: they meet the criteria for being self employed!

@chocolateorangeinhaler

When the OP does a tax return I guess, as an outgoing. Obvs if you don't do your own tax return nobody will know.

When the OP does a tax return I guess, as an outgoing. Obvs if you don't do your own tax return nobody will know.

I think your tax lawyer friend has given you confusing advice. You usually can’t deduct domestic cleaning from your income tax bill, and if you can (self employed, cleaning home office) you wouldn’t list the supplier and there would be no way to identify whether they are self employed.

@chocolateorangeinhaler

Winks love to know name of you tax lawyer friend

To ensure that I never approach them in the future for an tax advice of any kind

[quote chocolateorangeinhaler]@JustLyra oh do tell us all your knowledge then. I'm guessing you're an accountant or tax lawyer. Looking forward to hearing the correct answer.
Obviously the tax lawyer that told me this is talking shit. I must tell her to come on MN in future and ask you instead. [/quote]
Perhaps you should. You can’t claim your home cleaner as a tax expense.

If you work from home, or run a business from home, you can potentially claim a set amount for the rooms used, but that wouldn’t involve “declaring” the name of your cleaner to them.

My Accountant does my tax return every year.
I have never given him my incomings and outgoings In such detail and he’s never asked about a cleaner or any other domestic expenses

[quote chocolateorangeinhaler]@JustLyra oh do tell us all your knowledge then. I'm guessing you're an accountant or tax lawyer. Looking forward to hearing the correct answer.
Obviously the tax lawyer that told me this is talking shit. I must tell her to come on MN in future and ask you instead. [/quote]
A tax lawyer told you to put the cost of your home cleaner on your tax return?

You're going to need to explain the full circumstances - do you run a business from your home?

@chocolateorangeinhaler
won’t be back

@Bejaysus767

I would try to avoid paying in cash too! And whether she pays her taxes is actually a matter for me because I work for HMRC! I have a duty to report any suspected tax avoidance or evasion

So you would have to report her if she mentioned she had an ISA?