HMRC Cash Crackdown
HMRC has shopkeepers in its sights at the start of a new crackdown on cash payments.
Returns submitted to HMRC by shops and restaurants, whom it believes may not be declaring all of the cash payments they take, are to be crosschecked against the number of card payments taken.
HMRC estimate around 30% of transactions in these business are paid for in cash, and it is thought that investigations will centre on businesses recording more than 90% of their transactions are paid by card.
There are concerns, however, that the new plans could lead to lengthy and unnecessary investigations which could be financially damaging for small businesses.
Please note: This article is a commentary on general principles and should not be interpreted as advice for your specific situation.
