Is it legal for a contractor to give a discount on a project if the client pays cash? ?

A painter did some work on my business space. We had no type of contract. Now that the work is complete, he is telling me he will take 20% off the price ($500 off) if I pay in cash.
Since this is a business expense it makes me more comfortable to pay by check so I have record of the payment. It is also simply more convenient since I can drop it in the mail and don’t have to go to the bank. Is it legal for him to give me a different price simply for cash only? Isn’t that a pretty apparent red flag that he doesn’t plan on paying tax on that income? Do I have a right to choose to pay by check for the same price? I have an invoice from him with the price assuming that I was paying cash (the lower amount). Thanks!
Can I pay by check instead for the same amount?
I am not sure I udnerstand the answers. Maybe its because I had too many questions. Here is the simple way to ask:

Yup…samething as a NET 10 30 60 TERMS.

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