Learn something new every day More Info... by email
Proof of purchase is evidence that a product or service was in an individual's possession or that it was paid for. Examples include receipts and universal product codes (UPCs). This type of evidence is used for a number of reasons, such as obtaining rebates, qualifying for prizes, or benefiting from a warranty. It may also be required for legal purposes, such as to prove innocence in the event of theft accusations or to substantiate tax claims.
A receipt is likely to be the most common form of a proof of purchase. This document usually outlines the service or product that a person bought and the quantity. It generally shows how much was paid for the item, how much tax was charged, and the method of payment. Other important details that should be included on a receipt are the date, time, and location of the sale. Most of these details are important when attempting to get a refund or perhaps to make an exchange.
There are entities other than the vendor that may be interested in whether a person has proof of purchase. One example is a manufacturer who is issuing rebates. A rebate is a return of a portion of the purchase price. Before remitting these funds, a manufacturer will generally want to ensure that the potential recipient actually made a purchase. Other examples of those who may require evidence of purchase include third parties who provide warranties or insurance or even law enforcement. A receipt is an effective means to prove that an item was not stolen.
Proof of purchase can be imperative when a person is filing taxes. The amount that a person owes or is owed is usually dependent, in part, on the deductible expenditures that are claimed. There are generally regulations that require individuals to be able to substantiate those claims with receipts. Otherwise, there may be financial and legal consequences.
A proof of purchase does not always confirm that a sale was made. In some cases, it only shows that a person was in possession of an item. For instance, soft drink companies are known for having contests and product giveaways, and proof of purchase is generally requested from participants. Soft drinks are commonly sold from vending machines, so requesting a receipt would be impractical. Instead, the requirement for evidence is often satisfied with either the bottle cap or the portion of the label containing the universal product code, which do not actually prove purchase.
One of our editors will review your suggestion and make changes if warranted. Note that depending on the number of suggestions we receive, this can take anywhere from a few hours to a few days. Thank you for helping to improve wiseGEEK!