What is receipt scanning

Now that it is allowed to keep accounting completely paperless, most people prefer to store receipts digitally. The solution is receipt scanning, or taking pictures of the receipts and uploading them to an accounting system. 

A receipt is documentation of a transaction. For those who run a business, it becomes documentation of the purchase when you keep accounts. A receipt that is included in an account must have correct and sufficient information to be valid documentation.

Download our free invoice template.

What makes a receipt valid documentation?

Any receipt or proof of purchase provided to customers must include supplier name and contact, customer name and contact, the date of supply, details on the product or service, and the price.

Is receipt same as invoice?

An invoice and a receipt serve distinct purposes in the financial transaction process. An invoice is generated before the customer makes a payment, functioning as a formal request for payment. In contrast, a receipt is issued after the payment has been received, serving as conclusive evidence of the completed transaction.

In essence, an invoice initiates the payment process by requesting funds, while a receipt confirms and acknowledges the receipt of payment.