A Proof of Payment Letter is a crucial document used in German business and legal contexts to formally acknowledge the receipt of payment for goods, services, or other obligations. This document type is particularly important under German law, where formal documentation of payment completion is often required for legal and tax purposes. The letter must comply with German Civil Code (BGB) requirements and includes specific details such as payment amount, date, method, and purpose. It serves multiple purposes including proof for tax authorities, audit documentation, and legal evidence of debt settlement. The Proof of Payment Letter is commonly used in business transactions, real estate dealings, and other commercial activities where formal confirmation of payment is necessary for legal or administrative purposes.

1. Letter Header: Date, recipient's full name and address, and sender's details

2. Reference Line: Clear reference to the relevant invoice, contract, or debt obligation number

3. Payment Confirmation Statement: Clear and unambiguous statement confirming the receipt of payment, including the exact amount and currency

4. Payment Details: Specific details including payment date, method of payment, and any relevant transaction references

5. Purpose of Payment: Clear description of what the payment was for, referring to specific goods, services, or obligations

6. Signature Block: Official signature, name, and title of the authorized person confirming the payment