Strict Accounting Receipt - when can a self-employed person or entrepreneur use it?

Do you run a mobile business? Do your clients want to pay in cash, but you do not have a cash register? Or do you visit clients at their homes to provide services? In such cases, information about strict accounting receipts may be useful for you to understand how to act correctly and how to account for such income.

A strict accounting receipt is an income accounting document, similar to receipts or invoices. However, it is used specifically for cash payments in cases where a self-employed person or entrepreneur is not required to use a cash register.

Some of the most common cases in which self-employed persons and entrepreneurs may use strict accounting receipts in accordance with Cabinet of Ministers regulations:

1. When providing services outside a permanent place of business. For example, if you are a hairdresser or a plumber who visits clients at their homes and cannot use a cash register. When the client pays in cash, you must issue this receipt.
2. In mobile trade or temporary events - when sales take place at markets, fairs, events, exhibitions, and similar occasions.
3. If you are a farmer or a home producer selling self-produced agricultural or handicraft products in small quantities.
4. For certain types of activities and professions that, according to Cabinet of Ministers regulations, are exempt from the obligation to use a cash register. These may include, for example, individual service providers working outside a permanent workplace or directly at the client’s location, including:
   • private tutors and lecturers;
   • interpreters and translators;
   • individually practicing craftsmen, such as shoemakers, watchmakers, tailors;
   • beauty service providers working at the client’s location, such as hairdressers and makeup artists;
   • other similar self-employed service providers whose activity complies with the exceptions set out in Cabinet of Ministers regulations.
5. In other cases provided for by regulatory enactments, where the specific type of economic activity is not subject to the obligation to use a cash register. In such situations, strict accounting receipts may be used to record cash income.

Read more about all cases where there is no obligation to use a cash register and strict accounting receipts may be issued in the Cabinet of Ministers regulations.

Important! Strict accounting receipts:

• must be registered with the State Revenue Service, and you yourself must also be registered with the State Revenue Service;
• may not be used for non-cash payments;
• must be completed in accordance with regulatory requirements and include your business details;
• must be issued to the client immediately after receiving the cash payment;
• must be stored for at least 5 years in case they need to be presented.

Like other transaction-supporting documents, strict accounting receipts must be recorded in accounting records, and the income must be reflected in the business activity journal. As with other supporting documents, this income is registered in pats.lv in the “Income” section.

An alternative way to receive payment immediately in the presence of the client, without using cash, is to show the client your QR code, which allows payment to be completed in just a few clicks.

Depending on which payment receiving method is connected to the pats.lv account, the client can scan the QR code with their phone and make a payment via their internet bank or pay by card (Apple Pay or Google Pay).

Currently, the system allows you to connect various payment receiving methods:

• Oropay payment system, which provides card payments;
• MakeCommerce - provides both internet banking payments and card payments.

To connect one of the above-mentioned payment receiving methods, go to your profile section “Payment receiving methods”, choose the desired option, click “Connect”, and then follow the step-by-step instructions to complete the setup.

Verification may take 1-3 business days. Once completed, you will be able to receive fast payments both when issuing invoices and when using a QR code.

Use pats.lv to manage your accounting easily and conveniently - automatic tax calculation and report preparation.