Tax dodging builder?

If they're do it everything right though it's not an issue. You're only screwing them over (rightfully) if they're not paying what they should be.
The burden of proof is the fact he wasn't willing to accept any other form of payment.
The fact that they don't want an online bank transfer is not proof that they're not paying VAT.
 
People are talking about reporting them to HMRC.

Even if everything is above board its going to be a right ball ache for them to prove it if they're generally taking cash payments.

I have to do a self assessment even though I get my wages through PAYE and that's a right pain so I'd dread to think what it's like for people who aren't meticulous record keepers and deal exclusively in cash.

For what is worth I'm not condoning tax avoidance here, I just think they're is a burden of proof that has to be satisfied before you go reporting someone.

Why would it be massive ball ache? If they're doing things properly they'd have copies of receipts/invoices to customers, copies of receipts/invoices when they've bought materials, a comprehensive mileage log which matches up with their fuel receipts, etc. Everyone's meant to keep records to prove their returns... not just those who for some bizarre, definitely not dodgy reason prefer cash... it's just easier to keep those records if you deal with money electronically. If their return is accurate it's not ball ache, it's just a case of sending a box of documents by special delivery and chilling out.

(The ball ache, if any, would be when desperately trying to get their return together in the first place as they try and pull together all their disparate scraps of paper which constitute receipts/invoices, etc...)

Everything going through the bank is also a nice safety net because then if you lose some receipts you can always use the banking history as evidence.

Having to fanny around paying workers weekly I guess. Get cash can pay them straight away. Though it's only a minimal benefit.

Faster payment bank transfers are borderline instant nowadays.
 
Why wouldn't he accept one? What remote negative is there?
Is difficult to say when we're speaking in generalisations.

Some people are distrusting of banks whether that's rational or not. Some people just don't deal with anything electronically so a bank transfer is alien to them.

There's no downside as far as I'm concerned.
 
(The ball ache, if any, would be when desperately trying to get their return together in the first place as they try and pull together all their disparate scraps of paper which constitute receipts/invoices, etc...)

Everything going through the bank is also a nice safety net because then if you lose some receipts you can always use the banking history as evidence.



Faster payment bank transfers are borderline instant nowadays.
I image the majority of builders I've been in contact with would be in this bracket.

Is not how I would work. I agree with what you're saying about how things should be done but I don't agree with automatically reporting someone because they don't work in the way you think they should.
 
So what? Tax dodgers mean the rest of us pay more or theres less money for services or deficit goes up and we all moan about services not being funded as well as we'd wish.
I thought we had enough cash coming in from taxes or they wouldnt keep putting them down surely?

(only joking. Slightly)
 
If somebody is potentially avoiding tax I think we're entitled to report the facts of the transaction. HMRC can then make up their own mind. Why should I contribute 30 to 40% of my income via Payee ehenwsomebody else simply lies about their income. I don't like paying tax but do it.
 
You really can't take the **** with cash and avoiding tax these days. HMRC aren't idiots, they know how much money you spend, mortgage, how much your bills are, shopping etc and if you can't show where that money came from then you're ******. You also have the materials you bought, unless you got the person you are working for to buy them. HMRC expect you to take a bit but if you take the **** they'll come down on you like a tonne of bricks.

Often you’ll find they will spend cash on hobbies (expensive ones!), then some to paying folk cash in hand, then some cash and some card for things like shopping and fuel.

You won’t get away with declaring nothing but many will declare up to say 30k and pocket the rest.
 
Often you’ll find they will spend cash on hobbies (expensive ones!), then some to paying folk cash in hand, then some cash and some card for things like shopping and fuel.

You won’t get away with declaring nothing but many will declare up to say 30k and pocket the rest.

Of course most self employed do that! The whole system is pretty broken when others are too lazy to report them.
 
If somebody is potentially avoiding tax I think we're entitled to report the facts of the transaction. HMRC can then make up their own mind. Why should I contribute 30 to 40% of my income via Payee ehenwsomebody else simply lies about their income. I don't like paying tax but do it.


The force of hypocrisy is strong in this thread. :rolleyes:

People go out looking for the "Best Price" sometimes even asking if there is a "Discount for cash" full in the knowledge that the only way they will get it is if the contractor is evading tax and then get all self righteous about "How dare they avoid paying Tax when I have too"

Jeepers!

:confused:
 
The force of hypocrisy is strong in this thread. :rolleyes:

People go out looking for the "Best Price" sometimes even asking if there is a "Discount for cash" full in the knowledge that the only way they will get it is if the contractor is evading tax and then get all self righteous about "How dare they avoid paying Tax when I have too"

Jeepers!

:confused:
I fail to see how I am being hypocritical here.
 
The force of hypocrisy is strong in this thread. :rolleyes:

People go out looking for the "Best Price" sometimes even asking if there is a "Discount for cash" full in the knowledge that the only way they will get it is if the contractor is evading tax and then get all self righteous about "How dare they avoid paying Tax when I have too"

Jeepers!

:confused:
Where is the hypocrisy?
 
Where is the hypocrisy?

A general statement, I feel. A few others have mentioned it too.

I can't be bothered to look it up but you can surely find in here people who say there happy with cash in hand but also complain about public service...
 
The force of hypocrisy is strong in this thread. :rolleyes:

People go out looking for the "Best Price" sometimes even asking if there is a "Discount for cash" full in the knowledge that the only way they will get it is if the contractor is evading tax and then get all self righteous about "How dare they avoid paying Tax when I have too"

Jeepers!

:confused:

It’s only hypocritical if you do what you said and then moan about tax evasion.
 
If cash is required then it should have been agreed upfront. It’s unreasonable to expect someone to withdraw £4K cash at short notice. The risk is just too high. I’d stick to your guns and offer a bank transfer. That’s not unreasonable at all.
 
A general statement, I feel. A few others have mentioned it too.

I can't be bothered to look it up but you can surely find in here people who say there happy with cash in hand but also complain about public service...
I get your point, but in the context of the thread, the OP wasn't offered a cheaper quote for cash.
 
It’s only hypocritical if you do what you said and then moan about tax evasion.


OK Hands up all the people who moan about tax evaders who also actively go out of their way to pay 30% or so over the "Best Rate" for any given job so that they can use e-payments, receive fully itemized invoices, never ask for "Discount for cash" and sleep at night confident in the knowledge that all taxes due from the contractor will be accounted for and paid?

I call hypocrite to anybody who has ever complained about Tradesmen evading taxes who has nevertheless also asked for a "Discount for cash" or accepted paying cash to get the best price.

At this point, it is over to other peoples consciouses.

How many hands am I going to see here?

;) :p
 
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