Any business which accepts cash payments of €10,000 or more in exchange for goods, is now required to register with HMRC under its new money laundering regulations (MLR).
Recent changes to regulations mean that if you accept cash payments on or above the threshold limit (or equivalent in sterling), you will be classed as a high value dealer.
There are a number of transactions which are considered high value payments and these include:
- Single cash payments of €10,000 or more for goods
- Several payments for a single transaction totalling €10,000 or more
- Payments of €10,000 or more divided into smaller amounts so they come below the high value payment limit
The types of businesses which are most likely to be classed as high value dealers include:
- Car, boat, art or antique dealers
- Bathroom or kitchen suppliers
- Auctioneers and brokers
If your company is currently accepting or making high value cash payments, you are immediately obliged to register with HMRC under the new MLR. If you need assistance with this, please feel free to contact us as this is one of the many accountancy services we offer.
There is a non-refundable fee of £100 when you first register and you must pay £115 for each of the premises you include in your application.
You will not need to register under MLR if your business:
- Only receives payments for services or for a mix of goods and services where the value of the goods is less than €10,000
- You only accept large payments by credit card, debit card or cheque
If you want to ensure that your business is remaining compliant under HMRC’s new high-value cash payment rules or need help with any other accountancy services, please feel free to contact PKB and we will be more than happy to help.
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