This keeps a track record for future reference and also to avoid confusions. When advance payments are made to employee, it is important to get an Advance Salary Receipt. It is therefore termed as a prepaid expense in the accounting sheets. When advance payments are made, Advance Salary Receipt comes in the picture.Īn advance payment is the one that is paid in advance for the goods or services sold but the balance included in invoice follows the delivery. It is up to the payment recipient to include taxes in the receipt.
It records the sale of goods or services.
A receipt is a formal acknowledgment that a payment has been received.
