Customers wanting to pay cash.

[winston1]

I think I committed tax evasion today. Or tax dodging. Or tax fraud?

Went to Greggs for a sandwich, was asked if I was eating in, I said no. But then as walking out saw it had started raining, and there was a spare seat, so sat down.

Is that unlawful?

Not at all. VAT is payable these days on prepared food where ever you eat it. They are asking so as to know how to wrap it.

 

[JP_]

but they wrap it the same way in Greggs regardless.

 

[scbk]

Where can I find these customers that are desperate to pay cash

 

[Mottie]

Not at all. VAT is payable these days on prepared food where ever you eat it. They are asking so as to know how to wrap it.

This says different: https://www.accountsandlegal.co.uk/tax-advice/vat-in-the-food-industry

"All food which is consumed where it is served, whether it be cooked, uncooked, hot or cold, is subject to standard rate VAT charges. All food which is taken away is subject to zero-rate VAT charges, unless, it is cooked and served immediately."

 

[JohnD]

https://www.gov.uk/guidance/food-products-and-vat-notice-70114

Have you read paragraph 3.3?

 

[Mottie]

https://www.gov.uk/guidance/catering-takeaway-food-and-vat-notice-7091
Try to understand the difference between hot and cold takeaway foods.

 

[Mohigan]

Not at all. VAT is payable these days on prepared food where ever you eat it. They are asking so as to know how to wrap it.

VAT is chargeable only on certain types of food and the VAT treatment may, indeed, in certain circumstances depend on whether it is regarded as takeaway or sitting-in food.

 

[Thomasthepiperson]

I would have thought cash in hand suited tradesmen better, unless the taxman is on their back?

 

[HERTS P&D]

My jobs come in at around the £750-£2000 range. Not big money. Increasingly im getting customers offering cash for a discount. I am genuineley not interested becasue if i did accept every offer little would go through my accounts. And not only that my prices are very keen so i just cannot go lower. My dilema is i need the work so how would you/i politeley decline the offer but not lose the job? I know people are just trying it on but i do get people that go elsewhere once i refuse to budge.

Tell them that is a cash price and then put it through your books.

Andy