4 ms·

All this about the costs of dealing with cash are true. But they're especially true for the big players. I've seen several shops (including small coffee and ic

by ale42 3y ago

All this about the costs of dealing with cash are true. But they're especially true for the big players. I've seen several shops (including small coffee and ice cream places) telling people more or less openly that they prefer cash. Because card companies take a margin on every transaction, and don't allow them to charge more to compensate. Some try to go around the other way (offering e.g. a 5% discount to people paying cash - I had this at a restaurant). The problem is that the big ones can negotiate lower transaction fees with the card companies...

lawlessone 3y ago
I suspect some of it's a tax thing as it's a lot harder to hide income when all your transactions are digital. hypocrisy on my part but I have probably benefitted from paying cash for handiwork done that was only cheap because the person might not have paid tax.
- ale42 3y ago
  If you get paid cash and give a receipt/cash ticket, I'm not sure you can avoid declaring that revenue to the tax authorities. It's enough that one of your customers uses that ticket to deduce it as a professional expense from their own tax declaration to get potentially caught. I was hearing that all the time before card payments were a common thing (i.e. in the '80s, writing from Europe), "didn't get a receipt... they want to avoid taxes"
  - lucubratory 3y ago
    I mean yeah, if you give out a receipt as any sort of tradesman you're probably going to have to report that income or risk tax evasion prosecution. I have personally never had a tradesman give me a receipt, always cash-in-hand, for anything at home. Work expenses a receipt is required though, and those I pay with card anyway.
- creer 3y ago
  I don't know about that. I mean there are not many places (at least around here) that don't use cash registers. Nothing eliminates fraud but just because it's cash doesn't make it obvious or foolproof. At the same time, we often hear of ludicrous ways to try and beat the tax authority. I'm sure people try often enough.

by ale42 3y ago

lawlessone 3y ago

I suspect some of it's a tax thing as it's a lot harder to hide income when all your transactions are digital. hypocrisy on my part but I have probably benefitted from paying cash for handiwork done that was only cheap because the person might not have paid tax.

ale42 3y ago
If you get paid cash and give a receipt/cash ticket, I'm not sure you can avoid declaring that revenue to the tax authorities. It's enough that one of your customers uses that ticket to deduce it as a professional expense from their own tax declaration to get potentially caught. I was hearing that all the time before card payments were a common thing (i.e. in the '80s, writing from Europe), "didn't get a receipt... they want to avoid taxes"
- lucubratory 3y ago
  I mean yeah, if you give out a receipt as any sort of tradesman you're probably going to have to report that income or risk tax evasion prosecution. I have personally never had a tradesman give me a receipt, always cash-in-hand, for anything at home. Work expenses a receipt is required though, and those I pay with card anyway.
creer 3y ago
I don't know about that. I mean there are not many places (at least around here) that don't use cash registers. Nothing eliminates fraud but just because it's cash doesn't make it obvious or foolproof. At the same time, we often hear of ludicrous ways to try and beat the tax authority. I'm sure people try often enough.