Hairdresser asking me to pay in cash

[Sally3490]

I've been going to my hairdressers for about 10 years. It's quite pricey £160 for full highlights and a cut (London). When I was last in they asked if I would pay in cash in future. The ATM is on route so in theory I could, but it adds some level of inconvenience and I'd rather not be carrying that amount of cash with me. But also, I feel it's damn cheeky. They are charging alot of money and should be paying their taxes. AIBU?

Just to add, I listed more of the specifics in an earlier post.

It won’t be the same for all as we all operate in a different way and have different systems.

I hope you do well in your business, it’s certainly getting harder to make a living in this industry.

Not necessarily, a lot of hairdressers are sole traders and not required to have a fee based business banking charges account so don’t have cash processing fees. But they will have card processing fees regardless as that isn’t linked to their bank account.

Did you ask?

Thank you for your advice. My system has been working for 20 years. Cash/bank transfer as payment is loaded into my tracking system as receipt (everyone is digitally invoiced and contracted for each job, I don’t take on clients without that, nor would I be compliant with my insurance, and if I don’t have the PLI insurance, I can’t work in the venues)

Maybe I’m gonna be bandied as a conspiracy theorist, but I’m sure the digital only change is far bigger and deeper reaching than to simplify HMRC ease, but that’s a whole other thread.

I just want one less expense on top of my many business expenses, and removing the card payment works for me. Thats it. Thats all it is. It also works for my clients.

So thank you for your oh so simple “just do this….” advice for my business model you know the bare minimum of.

I run a small salon from home and actually I paid £3000 in card fees last year . Most of my clients do bank transfer into my business account a few pay card and a get cash occasionally .

Definitely not a tax dodge from me , I’ve got to cut costs somewhere with the cost of everything now !!!

Where have you got this figure from? I have done a basic search and the estimate I have found is half the amount you have quoted.

It could be to do with tax but more because of this new MTD thing where you have to use online software and it's a faff for small traders.

So they are not trying to avoid tax as such (although that will be the outcome) but avoiding the hassle of having to use the software rather than just doing a tax return,

And I would have thought that the hassle of handling cash and going to a dwindling number of banks is far greater than the percentage businesses pay on card fees. But I know a lot of businesses prefer cash even if they do take cards.

This.

Barbers, hairdressers, dog groomers, taxi drivers all pocketing some of their takings in cash and avoiding some of their tax.

Builders, plumbers etc have been doing this for years. Local builder has 5 holidays a year and always does part on an invoice and part cash. Your stuffed if the workk goes wrong since contract part is the bit invoiced and paid that's legit and the cash fit isn't recorded anywhere.

I got a plumbing job done recently, 1.2k and he asked me for cash, it absolutely is a tax dodge. If he had asked in advance I probably would have had it for him but he didn't ask until he was finished so I paid him through revolut. Processing cash payments might be expensive if its declared and done officially but small business owners can use it for their weekly shop, paying for services like nails and hair, holiday spends etc. This guy has a holiday home in Bulgaria which he said cost him next to nothing, he probably paid for it in cash!

A place I go to is bank transfer. They take a deposit through booksy on card then the rest is cash or transfer

Surely people saying it's a tax dodge can see that yes some people will take cash only as a tax dodge but that's doesn't mean everyone is doing it for the same reason.

I think a lot of chair rental hairdressers are cash only because they likely don't use the hair salon's credit/debit card machines (gets too confusing since they are a separate business). For just one person, it is a lot of expense and hassle to have a credit card machine.

Just say that you can do a B/ transfer then ?
See what they say before deciding to walk away or pay in cash.

Oh that’s ok then 🤔

Those of you saying that people avoiding tax by not declaring cash are ‘stealing taxes’, do you also think that benefits claimants that have never paid a penny in tax and can’t be arsed to work are also ‘stealing taxes’? Nope, thought not!

Taxes are a joke in the UK, and our public services are a joke too! I don’t blame people for earning a bit of cash when they can

First of all the very fact that you are asking am I being unreasonable? Makes me think you realise you are being unreasonable.
The price that you have been quoted is actually not expensive, especially not for London. I believe what you are trying to say is that you do not have the budget to go to that hairstylist.
You may not also understand that her rent is not free, the products that she will use on your hair are also not free. Nothing about the service that you are going to receive is free.
When taking payments via Card, there is also a fee.
I’m interested to know whether you would be saying the same thing if this was your solicitor or your doctor ? Is it just because she is a lowly hairdresser and therefore not worth it ?

If my solicitor told me to pay in cash I'd consider reporting her to her regulator tbh. Ans my doctor is NHS or covered by insurance. Oh actually I pay £100 excess to my doctor. Would certainly refuse to pay him cash.

Yup, of course those who take benefits and cba to work are steaming taxes. Each is as bad and illegal as the other, obviously.

Avoiding tax causes the problem. Taxes in many European countries are higher and they get better services as a result.

Why should others enjoy the benefits (NHS, Police etc) paid for by others? Why should the hairdressers down the road who accept cards subsidise others? Who wants to carry excess of £100 cash in their handbag?

I refuse to pay cash at my nail salon. They ask every time!! There’s no upside for me to help them avoid paying tax. I see them taking money out of the cash box. I always do a bank transfer to their business bank account.

As a “net contributor” in the UK, I’m in a minority pool of people who pay tax after tax after tax and get nothing back.

Most people in the UK take more than they put in! I’m not averse to paying a tradesman in cash if I save the VAT equivalent 🤷🏼‍♀️ But I wouldn’t pay cash if there’s no benefit to me.

I’d say a vast majority of people in the UK benefit from public services without ever paying a penny in taxes. Let’s not pretend the UK isn’t full of scroungers!

I thought your position is that taxes are a joke and everyone should avoid paying them - aren't they the scroungers?

Did you ask if you could bank transfer?

I’d just say I can’t pay that in cash. No way would I remember or want that much cash on me!

Tax evasion n the UK, including from certain members of so called Reform (sic) costs more than benefit fraud!

I was brought up in France (UK parents but due to dad’s job) so l have seen 2 variants.

If you would rather some people suffer and go hungry than have some people make fraudulent claims, that’s you shout. I see benefits as a safety net. I have a professional job, pay my taxes and enjoy what it brings. Unlike the likes of cash only businesses and the likes of Richard Tice.