EU legislation to ban cash payments over €10,000 is being considered in an attempt to clamp down on cross-border money laundering on a wider European basis.
As reported in the Irish Independent, cash payments over €10,000 for transactions such as car purchases, home improvements or funeral bills will be banned under EU rules expected to come into force within three years.
A high value dealer under the UK Money Laundering Regulations is any business or sole trader that accepts or makes high value cash payments of €10,000 or more (or equivalent in any currency) in exchange for goods. You must not accept or make a high value cash payment until you have registered as a high value dealer with HMRC. Guidance for high value dealers to meet their requirements for money laundering supervision can be found here.
“The focus must now go on things like car purchases, jewellery, antiques and even more unusual items like funeral charges. The proposed measures extend the capping for large cash payments to services too, so that for example funeral services above €10,000 would have to be paid through card or via a bank,” said Irish EU Commissioner Mairead McGuinness.