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Where Taxpayers and Advisers Meet

Blatantly asking openly to do cash in hand.

PatienceIs
Posts: 6
Joined: Tue Jul 30, 2013 1:46 pm

Blatantly asking openly to do cash in hand.

Postby PatienceIs » Thu Nov 21, 2013 12:33 pm

Is this the height of stupidity, or just ignorance of the laws?
http://www.gumtree.com/p/jobs/cleanersh ... 1037922265

section 44
Posts: 4468
Joined: Thu Oct 30, 2008 12:47 pm

Re: Blatantly asking openly to do cash in hand.

Postby section 44 » Thu Nov 21, 2013 12:36 pm

spam laws?

PatienceIs
Posts: 6
Joined: Tue Jul 30, 2013 1:46 pm

Re: Blatantly asking openly to do cash in hand.

Postby PatienceIs » Thu Nov 21, 2013 12:42 pm

LOL, spam for brains laws for sure.
Do DWP and HMRC read things like Gumtree?
I guess they read this website (it is one of the best) so I suppose someone may phone her and let her know that she needs to declare income over a certain level.

I recall reading pistonheads where someone posted about their cash in hand work, and very quickly the community tracked his name, address etc. He edited things but people had helpfully screenshotted his bragging.

section 44
Posts: 4468
Joined: Thu Oct 30, 2008 12:47 pm

Re: Blatantly asking openly to do cash in hand.

Postby section 44 » Thu Nov 21, 2013 12:51 pm

There's no law against being paid in cash.

Lambs
Posts: 1420
Joined: Wed Aug 06, 2008 3:15 pm

Re: Blatantly asking openly to do cash in hand.

Postby Lambs » Thu Nov 21, 2013 2:48 pm

HMRC has already been looking at e-marketplaces; most will be aware that they think that barter is taxable.

But no, taking cash for a job is not in itself wrong. Although HMRC perceives cash-based business to be higher risk.

Regards,

Lambs

PatienceIs
Posts: 6
Joined: Tue Jul 30, 2013 1:46 pm

Re: Blatantly asking openly to do cash in hand.

Postby PatienceIs » Thu Nov 21, 2013 10:05 pm

Lambs et al.
Is barter taxable?
If I were to fix a neighbours gate, and they change a wheel on my car, is that taxable?
Is there a test available to determine gifting from bartering, like with the employment status indicator?
Thank you for your postings in this forum.

wamstax
Posts: 1869
Joined: Wed Aug 06, 2008 3:39 pm
Location: Operate Nationally but based in Aberdeen
Contact:

Re: Blatantly asking openly to do cash in hand.

Postby wamstax » Mon Nov 25, 2013 10:26 pm

Barter is a taxable supply if the supply you provide is from the business or trade that you carry on. The question as to whether the amount you give in consideration would be tax deductible would depend on the service received being wholly and exclusively for the purposes of you trade or business.

For example a neighbour carrying on a motor repair business and fixing your car in return for you being a joiner and fixing his business door would be tax neutral. However the same neighbour carrying on a motor repair business and fixing your car in return for you paying for a night out at the theatre for him and his partner should result in him paying tax on the value of the "night out at the theatre".
regards and hope this helps
http://www.wamstaxltd.com
Operates Nationally with competitive costs
and email and phone contact can be obtained from website

PatienceIs
Posts: 6
Joined: Tue Jul 30, 2013 1:46 pm

Re: Blatantly asking openly to do cash in hand.

Postby PatienceIs » Wed Nov 27, 2013 1:34 am

Wamstax, you have a great ability to explain things simply and interestingly. Thank you so much.


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