Is it reasonable to NOT pay a cleaner cash?

[katymac]

I want to pay the cleaner either through PAYE, or for her to invioce me or for me to pay by chq.

This is because I need to puit the cost through my books as an expense.

The lady who is going to clean for me has asked for cash in hand.

Am i being unreasonable? (don't you love these threads)

can you not still put it through your books as casual labour?

oh she'd need to give you a reciept/invoice. I suppose she doesnt want to declare it

fair enough really (not wanting to declare it)

She hasn't started yet - and I want to be legit

So I give her the option of doing it my way - or I'll have to find someone else. Seems a bit mean - but I can't put an invisible amout through the books can I?

have you asked her whether she'd mind giving you an invoice (you can still pay her in cash then)

think some cleaners want it cash in hand to top up their regular earnings or benefits. Maybe you need to go through an agency?

Yes I've discussed all three options and she doesn't seem interested - so back to the drawing board - trying to find a cleaner

I'll do your ironing!!!

Thanks, Auntymandy DH does that

I wouldn't expect PAYE, pay her as a self employed person with cash but ask her for an invoice or receipt and then it is up to her to pay own tax etc. You could even offer to print up basic receipts fro her and get her to sign them. Unless she is working loads of hours for you and claiming benefits I wouldn't worry, just keep yourself right it doesn't have to be invisable.

cant she just sign a receipt?

Go to Mollymaids or an agency like that where you are invoiced for the work.

However, be aware that the additional cost (as they have to add VAT) is probably much higher than the notional tax you will save

It might be cheaper to just pay the cleaner cash in hand and forget about putting it through your CM business as an expense.

But strictly speaking, the job is of 'employed' status, unless you use an agency, who send a relacement if you regular cleaner is off, etc. If Katymac had a tax inspection for her CM business, she could be liable for the tax that the cleaner hould have paid.

I think you are doing the right thing by keeping it official, km, if it is part of your CM business.

Blu - that's not the case.

A cleaner is normally self-employed - i.e. works for a number of different people over the course of the week. Unless the cleaner is working for only a couple of people a week, or if they are working on a subcontract basis for an agency.

Katymac is not obliged to pay employers taxes and NI for a cleaner who is working on a self employed basis - it is for the cleaner to do so!

soapbox - please don't recommend Mollmaid - they are completely cr@p!!!!

Can't say I knew any cleaners who did it for anything other than cash in hand. Best of luck to you in your search.

Katymac - if your cleaner is not prepared to act as a legitimate business and invoice/issue you with receipts, then I think that you would be best to find another cleaner. It does sound like she is trying to gain an untaxed/undeclared income, and I don't believe that this sort of behaviour should be encouraged.

Why not, Tabs? The personal exemption is £4,800 anyway, who's to say the self-employed cleaner isn't making under that? Also, as soapbox pointed out, the cleaner is responsible for doing her taxes and NI, not the employer.

She may well be making under that expat, but then why would she mind issuing a receipt and including it on her own tax return to prove that she had no tax to pay?

The rules are there for all to adhere to, and just like it annoys me when the mega rich come up with fancy tax dodge schemes, it annoys me when those who aren't mega rich think/act like they are exempt from the law because of this.

Accept that it's the cleaner's responsibility to do her own tax and not Katymac's, but if she refuses to issue invoice or receipt, then as KM says, she can't put it through her own books, so doesn't really have a lot of choice other than to find someone else.

Tabs - if you know me, you will realise that this is very unlike me to say this, but if someone is prepared to get off their arse and put in a few hours hard graft to supplement a meagre income to put food on the table for their children or to pay for a few luxuries, then in these rare circumstances I am prepared to live and let live

Maybe you should look at the judge, judge, judge thread and you can add this one to the list there!

Hang on here - why should I pay more tax (by not putting cleaning through my books) so someone else can pay less tax (by not declaring it)

I have to run my business very carfully as I used to work for the tax office - and if I was caught out on anything I could hardly say "i didn't understand the rules!" could I?

I don't have a problem with people deciding whether to pay tax or not - but i'm not paying for the priviledge...so to speak

I think if I was the cleaner I would expect cash, how many hours is she doing

can you give her a receipt which says casual cleaning services with the cash and file your duplicate copy

That might work

Soapbox - and you an accountant and all!

Hadn't spotted the 'judge' thread before, but have now added it!