What is a Rent Receipt?

A Rent Receipt is a landlord-issued proof of tenant payment. It acknowledges that the landlord received the rental fees in full or as a partial payment. A receipt should only be completed and sent to a tenant after the funds have been transferred to the landlord.

This written record of payments is crucial when a tenant pays by methods that don’t auto-generate receipts (e.g., electronic transfer, personal check, or cash).

A Rent Receipt is also known as:

• Rent invoice
• Rental payment receipt
• Rent receipt form
• Rent slip

LawDepot’s Rent Receipt template works for both residential and commercial tenants.

Essential information in a Rent Receipt

A Rent Receipt contains all the details to acknowledge and prove you received a rental payment from a tenant, including:

• Transaction details: This includes the payment method, payment amount, and the date it was received.
• Rental period: The period for which the payment was made.
• Property details: The property's location and address.
• Landlord and tenant information: This can be the landlord or property manager’s name issuing the receipt, as well as the tenant’s full names and contact details. 
• Receipt date: The day the receipt will be issued.
• Landlord’s signature: To further verify that the payment was received and validate the receipt for the tenant.

If a rental slip is for a late payment, it should also include the outstanding balance and any applicable late fees. 

Do I have to provide a Rent Receipt?

Whether you have to provide Rent Receipts depends on your state legislation and the tenant’s payment method. Some cities may also require landlords to issue Rent Receipts to tenants, even if the state does not. Therefore, it is best to check the rules outlined by your city's local housing board.

Regardless of your state’s laws and regulations, creating Rent Receipts is always a good idea for staying organized once a payment has been received.

State requirements for Rent Receipts

Instances when state laws require a Rent Receipt will vary. The following examples outline the various possibilities that exist across the United States:

• Some states, such as Hawaii, require landlords to provide tenants with rental receipts, regardless of how payments are received
• Some states, including Maryland and Washington, require a receipt when a tenant pays with cash or when it's requested
• Other states, like Colorado, require a receipt for cash payments, money orders, or when requested by the tenant
• Some states have no legislation and do not require landlords to provide their tenants with Rent Receipts

Why do some tenants require Rent Receipts for tax purposes?

Tenants may need Rent Receipts to prove their total rent costs for the year if they live in a state that provides a tax credit for renters. This kind of credit allows tenants to receive a credit on their annual tax return based on their total yearly rent payment. 

Examples of states that give rent credits include California and New York, which give qualified tenants more money and offset other living expenses, such as utility costs.

Additionally, if a tenant runs a home-based business, they may need rental receipts for tax deductions. Typically, the portion of a rental property that a tenant uses solely for business qualifies for tax deductions. Renters may require receipts to prove their total rent cost for the year. 

Reasons to use a Rent Receipt

There are many benefits for landlords and tenants alike in using Rent Receipts. A Rental Receipt acts much like a sales receipt or Bill of Sale that you would use to record a transaction that involves the sale of goods.

Landlord benefits from using receipts

When managing rental properties and tenancies, landlords have multiple advantages when using Rent Receipts. For example, they can help you:

• Maintain a professional appearance with your tenants
• Stay organized and track tenant payments (both full and partial payments)
• Comply with applicable state or local laws to avoid fines or penalties
• Delight and impress your tenants, hopefully resulting in lower tenant turnover

Tenant benefits of using receipts

As a tenant, there are many benefits to receiving Rent Receipts, such as helping tenants:

• Prove they paid their rent if their landlord tries to wrongfully evict or sue them for nonpayment
• Prove they paid their rent on time if their landlord ever wrongfully charges late penalties
• Track their rent payments and have a paper trail of their monthly expenses
• Back up their tax deduction claims if they run a home-based business in the rental property
• Help them claim the renter's tax credit on their income taxes if they live in a state that provides a tax credit for qualified renters

How to fill out a Rent Receipt

You can easily use LawDepot’s Rent Receipt template to create one with all the necessary information you need for your rental and state. Just follow these simple steps to download and save a printable PDF:

1. Select the tenant’s payment method
2. Add the payment info (i.e., amount paid, date received, and the rental period being covered)
3. Include the location of the property
4. Name the person who received the payment (e.g., the landlord or property manager) and name the tenant who paid
5. Include the rental property address
6. Add a Receipt number or ID, whichever is applicable, and specify the date when the receipt will be issued to the tenant

Our template lets you create receipts for both full and partial rental payments. If your receipt is for a partial payment, you’ll be prompted to enter the rent payment amount and the amount received to document the outstanding balance.