Originally Posted by L-Pink

Never been audited have you .... When a self employed business owner cashes a check at a restaurant or the issuing bank for cash, rather than depositing it into his corporate account, he is setting himself up for a lifestyle audit, and future scrutiny that is a nightmare.

They will automatically think --- how many accounts does he have that he keeps a second set of books on and has no trail of income.

Example... I pay a carpenter $5,000.00 to build a deck or something. He takes my check to your restaurant or MY bank, gets it cashed for cash. Will he set aside $1,500.00 for quarterly taxes? Or pretend he never did the job.

And who would know? Even if you are honest they will see the potential for avoidance and treat you accordingly.