In proposed changes to the Australian law, paying more than $10,000 to your employee in cash means that you could face fines of up to $25,200 and a 2 year jail sentence.
The Governments Black Economy Taskforce is attempting to stamp out tax evasion, money laundering and other financial crimes. They believe that a $10,000 cash limit for transactions between employers and employees would help achieve this goal.
Assistant Treasurer Michael Sukkar said the legislation would likely be introduced during the parliamentary sitting.
He said “As cash is largely untraceable, this makes it difficult for law enforcement agencies to trace these activities.”
He stated that there would be no changes to how individuals used cash, or how they chose to use their cash when the other party was another consumer.
If passed, the laws would be implemented on January 1, 2020.
