Voucher is a piece of paper or a document that confirms the truth of a happening in the field of accountancy; it confirms either the payment or receipt of money. The voucher is an evidence of occurrence of a transaction that is entered in the books of accounts. It is the authority on the basis of which entries made. Vouching clearly shows the nature of the transaction.
Vouching is extensive examination of documents carried out for the purpose of established the authenticity of the transactions recorded in the books of accounts. Vouching also involves evaluation of internal checks and examination of internal controls relating to recording of transactions. Only on the basis of the conclusions drawn while vouching, auditors determine the nature and extent of their work subsequent to vouching. Therefore, extreme care should be taken while vouching. Important facts obtained from vouchers are date of transaction, name of the party, adherence, nature of the transactions, the amount mentioned in the voucher, and authority.