yes, but that’s a non sequitur. tax evasion via cash-only businesses is likely a rounding error on national receipts, and most of those businesses are straight up illegal (fencing, drug/weapons/human/sex trade, etc.), so justice is difficult/expensive and can be pursued more aggressively via criminal law anyway. we should worry a teeny-tiny bit about mom-n-pop taxes and service worker tips, and rather a lot about tax enforcement for big businesses and the well-off.
Where are you living that cash-only businesses are mostly illegal enterprises?
In the northeast there are tons of cash-only bars and restaurants (im sitting in one), food places (especially hot dog stands lol), and housing/plumbing/electrical contractors (friends with a few that offer _steep_ cash-only discounts).
Cash is king if you want to avoid government scrutiny.