Do you ever accept cash as a payment in your business? Well legally, you have to accept any legal tender which includes cash. However, most people do not carry $200 cash with them let alone $1,000. Or what happens when someone pays you $10,000 in cash, well now you have a problem. It is called an 8300 form that must be e-filed through the BSA e-filing system within 15 days of receiving the cash.
The thing is, that the definition of cash also includes things like money orders and traveler’s checks. This applies to every business. This is most common in casinos and cannabis businesses, but really, this applies to every business. Most of the time it is a single transaction that is paid in cash – the business receiving the cash must file the form.
So what information do you need for the form? Basically everything. The name of the individual you receive the money from – even if it is a courier, you have to have all their info including social and date of birth. The person or business that actually purchased the product. The kind of currency and even the number of $100 bills, type of transaction and then finally the business that received the cash – you even have to mark if it was for a suspicious transaction.
I don’t know about you but I can’t wait to go by a car in cash someday, if nothing else to educate the person that this form has to be filled out. However, for the safety of your business, make sure you have a written procedure for how to receive a cash payment including filling this form 8300 out. If you need guidance in these procedures just give us a call.