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Article Link: http://help.truecommerce.com/en/articles/11882582-the-importance-of-payment-receipt-in-truecommerce
After a transaction, you might receive a little paper slip after making a purchase, which serves as a token of proof showing you have made your payment. That paper slip is officially termed as a payment receipt.
Depending on the size of your business, it is important to provide customers with a payment receipt upon completion of a transaction. This process helps to track your cash flow as well as give your customers proof of payment.
Payment Receipt – What is it?
A payment receipt is a document issued by a business to a customer after they have paid for goods or services, serving as proof of payment. It confirms that the transaction has been completed and provides a record of the payment.
In some cases, the payment receipt might be confused with an invoice. Actually, they are different, although these terms are often interchangeably used. An important distinction between an invoice and a receipt is that an invoice is issued before payment is made, requesting payment from the buyer for goods or services provided (including details about the items, prices, and terms of payment) while a receipt, conversely, is issued after payment is received, confirming that payment has been made for goods or services (including details about the items, prices, and confirmation of payment received).
Payment Receipt - Significance for Businesses and Customers
Why is a payment receipt important for businesses and customers? This type of paper can help you keep track of the invoices’ status, such as which invoices have been paid or which are still outstanding. It also helps protect your business from fraud; for example, if a customer wants a refund, you can ask them to provide their receipt as proof of what and when they purchased from you.
Not only for your business, but payment receipts are also great for your customers. Giving someone a payment receipt means that they have clear proof that the transaction ended and their money was used. Issuing payment receipts demonstrates that your business is transparent, proactive, and trustworthy.
The following are additional reasons that payment receipts are important:
Proof of Payment: They verify that the customer has paid the amount due.
Record of Transaction: They document the details of the payment, including the date, amount, and method of payment.
Utilization in Various Industries: Businesses of all sizes, from freelancers to large corporations, use payment receipts to confirm payments for products, services, or even rent.
Means to Manage Finances: They help businesses track payments and reconcile their accounts.
Customer Satisfaction: They give customers peace of mind and a record of their payment.
Prevention of Disputes: They can help resolve issues if there are disagreements about payments.
Tax Records: They are essential for accurate record-keeping and tax compliance
What Information should typically be included on your Payment Receipt?
Of course, there is no mandatory information that needs to appear on a payment receipt during transactions, regardless of whether it is provided via paper, PDF, or online. However, if you include the following information on your payment receipt, it helps customers understand data, transactions, payment, and more as much as possible.
Business name and address
Customer name and address
Date of payment
Amount paid
Payment method (cash, credit card, etc.)
Receipt number
Invoice number (if applicable)
The amount of value-added tax (VAT)
Any remaining balance owed
How to receive a Payment Receipt?
Receiving a Payment Receipt is an easy task. Just send your request email to the TrueCommerce Accounts Receivable (AR) department at [email protected].
To help us process your request efficiently, include the following details in your email:
Your company name
Invoice number(s) or payment reference
Date and amount of the payment
Any additional information that may help identify the transaction
Our team will review your request and promptly send the payment receipt to you. For multiple requests, mention that in your email as well. We are here to help ensure that your financial records are clear and complete.
Conclusion
Serving as proof of payment given by a business to a customer, a payment receipt is extremely valuable to both the customer and the business. Businesses and customers need to maintain records to track their purchases, sales, expenses, and cash flow. In addition, a payment receipt also comes in handy when you need to apply for rebates, refunds, taxes, and more.
rev: 07/24/25