Importance of Retail Receipts
1. Proof of Purchase: Retail receipts are evidence of the transactions. These are essential for making returns, exchanges, warranties, and refunds. If a customer does not have a receipt, he may find difficulty in receiving assistance for faulty products and proving that the purchase has been made.
2. Facilitating Returns and Exchanges: Receipts are important for claiming returns and exchanges. Many retailers require customers to present a receipt as proof of purchase as a return policy when a customer wants to return the product purchased. The seller may deny the option to return and exchange if the customer does not have a receipt for the purchase.
3. Tax Compliance: It acts as a proof for taxable transactions, helping businesses accurately report sales revenue and calculate tax payable. If the customer is a company or other entity then it can use retail receipts to claim Input Tax Credit (ITC) for the purchases made.
4. Fraud Prevention: Receipts often include security features such as serial numbers, barcodes, or watermarks, which help prevent fraud by verifying the authenticity of transactions.
5. Warranty Claims: Sales receipts are important when a customer wants to claim a warranty and help the customer establish the validity of a transaction and produce evidence during any dispute and warranty claims.