Step 3 – After Exchange, the Receipt is Issued

If the seller is providing a service and, depending on the situation, the funds will be transferred before or after the service is provided. If there is a cash transaction the buyer will be obligated to bring the funds and the seller should bring the product. Step 2 – Seller provides the Goods/Services, Buyer brings the Cash If it’s immediate the transaction can occur instantly. If the buyer is purchasing a product or service the price should be agreed on and when the transaction should take place. The first (1st) step is establishing the deal between the buyer and seller. Currently, people can still use cash or take advantage of websites and mobile apps that allow sending money electronically and for free. The main benefit of paying in cash is that there is no fee. When accepting a cash payment it’s important for the transfer of goods or services to occur at the same time (if applicable).

How to Send Money Electronically (free).

Should the payment qualify as a tax-deductible purchase for the payer, the individual will require the receipt when itemizing deductions on their income tax return. The business providing the product or service should retain a copy of the receipt, be it physical or digital, for the purpose of tracking sales or services rendered. Due to there being no electronic evidence of a cash transaction, a receipt is the only way to verify that funds were paid to the receiving party. A cash payment receipt proves that a product or service was paid for with physical currency.

Microsoft word receipt template