Getting paid cash

carrollmark

What are the ins and outs of getting paid cash when you're providing a service to the public.

If you provide training to private individuals and are getting paid cash, what do people normally do in terms of declaring/not declaring it etc?

mad m

Your probably best to hire an accountant,they will know the most in's & Out's.

gonk

carrollmark wrote:

What are the ins and outs of getting paid cash when you're providing a service to the public.

If you provide training to private individuals and are getting paid cash, what do people normally do in terms of declaring/not declaring it etc?

They're very simple - if you don't declare the income in your tax return and pay the appropriate tax & PRSI you're committing an offence for which you could be fined or worse, and are also storing up potentially large liabilities in the form of interest and penalties on your unpaid tax.

What people "normally do" I suppose depends on their view on how likely they are to get caught!

scargill

a good rule of thumb with cash is to say its a "loan" i believe

Nuttzz

its very hard for the revenue to prove anything when cash is involved, if you take the cash from customers and use it for day to day spending then there is no record of it, once it enters the banking system then it is traceable.

i know plenty of tradesmen who save their most of their wage and live of the cash they receive in nixers, that wont be popular here on boards where everyone will tell you to pay tax on it (is in post 3) but the reality of it is that plenty of people hide their cash business from the revenue and very few get caught, i know one such tradesman who had a revenue inspection recently and the revenue walked away happy, however he does 2-3 nixers a week for cash.

indiewindy

Nuttzz wrote:

its very hard for the revenue to prove anything when cash is involved, if you take the cash from customers and use it for day to day spending then there is no record of it, once it enters the banking system then it is traceable.

i know plenty of tradesmen who save their most of their wage and live of the cash they receive in nixers, that wont be popular here on boards where everyone will tell you to pay tax on it (is in post 3) but the reality of it is that plenty of people hide their cash business from the revenue and very few get caught, i know one such tradesman who had a revenue inspection recently and the revenue walked away happy, however he does 2-3 nixers a week for cash.

Its like playing Russian Roulette though as if their caught they'll have to pay more than they originally avoided

ircoha

carrollmark wrote:

What are the ins and outs of getting paid cash when you're providing a service to the public.

If you provide training to private individuals and are getting paid cash, what do people normally do in terms of declaring/not declaring it etc?

the risk u run here is that if someone gets peed off with you and decides to report you to Revenue then your number will be up.

With the revenue if they smell a rat they will raise an assessment on you and it is up to u to prove it is wrong.

Nuttzz

indiewindy wrote:

Its like playing Russian Roulette though as if their caught they'll have to pay more than they originally avoided

I give you €100 to fix my pc and you spend it in the pub, how does the reveneue find this out exactly, this is the usual route for nixers in my experience

vector

Nuttzz wrote:

I give you €100 to fix my pc and you spend it in the pub, how does the reveneue find this out exactly, this is the usual route for nixers in my experience

that is invisible

however (as has happened in real life with drug dealers) if you were to buy a mansion for 1 million (after doing many "nixers") then the revenue would ask you where you got the money from

ednwireland

Nuttzz wrote:

I give you €100 to fix my pc and you spend it in the pub, how does the reveneue find this out exactly, this is the usual route for nixers in my experience

they wont catch you for this but its when you have 2 new cars new house 3 holidays a year and dont pay any tax thats when they catch you

the revenue inspectors look at your assests and decide what tax you owe and then its down to you to prove you didnt earn it as far as i see it your guilty tl proven innocent in this case

Nuttzz

you are right of course, it all depends on the level of business the op has, a regular wage with "nixers" on top is very hard to trace

tech

cash is king for nixers, do a nice few myself its the only way to go

anyone want their Pc fixed?