Is a cash register compulsory?

A notebook, paper and pen used to be enough to keep track of cash transactions, orders, etc., but times and technology have advanced a lot since then. If we look at history, James Ritty, the saloon manager of James Ritty’s Pony House Tavern, was tired of being mugged by his employees. Back then, in 1879, he had an incredible idea and created an extraordinary device: the “incorruptible box”. This is the first cash register that inspired the other inventors to reach a stage where digitization takes a dominant place in commercial businesses and CHR. However, the question arises whether it is actually compulsory to keep a cash register when carrying out a commercial activity?

A cash register: what is it exactly?

A cash register is a device used to record customer purchases. It is mainly found in shops, supermarkets, CHR (cafes, hotels, restaurants) and even in beauty salons and bakeries. In commercial parlance it is also called “Point of Sale Terminal” or TPV. It is an efficient management tool consisting of a calculator, cash drawer, keyboard and printer.

Today there are new innovative models as proposed ShopCash Where Easy Shop with tactile and fully modular cash registers to adapt to all types of activities and new challenges.

What obligations for traders?

Merchants are subject to the accounting obligation to demonstrate transparency in the management of their cash. In addition, the receipts may serve as evidence for the tax authorities. For this you need:

  • Set up billing for each service.
  • Provide a duplicate receipt for completed transactions. If the amount exceeds €25, the first receipt goes to the customer and the second to the establishment. Otherwise, it is not mandatory to give a ticket, except at the request of the customer. All the necessary legal information must appear on this receipt: date, name of the product or service, numbering, amount to be paid, etc.
  • Maintain and update accounts regularly.
  • Conduct a physical inventory at least once a year.
  • Record all entry and exit movements chronologically.
  • Keep all accounting records in archives for a period of at least 10 years.
  • Prepare financial statements at the end of each fiscal year to monitor the organization’s financial health.

What does the law say about using a cash register?

VAT fraud is one of the scourges that the state is trying to fight. Pursuant to the Finance Law n. 2015-1785 of December 29, 2015 for the year 2016, traders subject to VAT are obliged to equip themselves with a certified cash register. In fact, Article 88 states that “when a company registers payments from its customers using accounting software, a management or cash register system, it must use software or a system that meets the conditions of immutability, security, preservation and archiving of data with a view to controlling the tax administration, certified by a certificate issued by an accredited body in accordance with the conditions provided for in Article L. 115-28 of the Consumption Code, or by an individual certificate issued by the issuer in accordance with a model set by the administration. »

Put simply, a merchant is not obliged to use a cash register when conducting his business, there is no law covering this issue. Since January 1st, 2018, however, their users have had to equip themselves with NF525, LNE or Certified Publisher-certified POS software and pay a fine if they violate this law.

Cash register: what advantages for the merchant?

The cash register is the ideal ally for anyone who carries out commercial activities. Its use is very beneficial because it saves users a lot of time by reducing the pick-up time on the one hand and long queues on the other.

Using a cash register simplifies the work of the seller, in contrast to all the tasks that are required when the latter uses the old methods. Indeed, it is easy to use and significantly limits the risk of error, especially in calculations. It records transactions automatically and also generates reliable reports. This therefore makes it possible to follow the receipts and control the evolution of the turnover.

By automating transactions between the customer and the merchant, the cash register prints proper invoices. The details of the notes, namely the amounts with and without taxes, the calculation of VAT, promotions, discounts, rebates, rebates, etc. are thus mentioned on the receipt. The integrated cash management software thus enables the implementation and analysis of the company’s sales statistics.