diff --git a/packages/esm-billing-app/src/invoice/invoice.component.tsx b/packages/esm-billing-app/src/invoice/invoice.component.tsx
index 74055bbcc..809ffd279 100644
--- a/packages/esm-billing-app/src/invoice/invoice.component.tsx
+++ b/packages/esm-billing-app/src/invoice/invoice.component.tsx
@@ -23,7 +23,7 @@ import { LineItem } from '../types';
 import InvoiceTable from './invoice-table.component';
 import styles from './invoice.scss';
 import Payments from './payments/payments.component';
-import PrintPaidBillReceiptAction from './print-bill-receipt/print-receipt-action.component';
+import ReceiptPrintButton from './print-bill-receipt/receipt-print-button.component';
 import PrintableInvoice from './printable-invoice/printable-invoice.component';
 
 interface InvoiceDetailsProps {
@@ -130,7 +130,7 @@ const Invoice: React.FC = () => {
         </section>
       </div>
       <div className={styles.actionArea}>
-        <PrintPaidBillReceiptAction bill={bill} />
+        <ReceiptPrintButton bill={bill} />
         <Button
           onClick={handlePrint}
           kind="tertiary"
diff --git a/packages/esm-billing-app/src/invoice/print-bill-receipt/print-receipt-action.component.tsx b/packages/esm-billing-app/src/invoice/print-bill-receipt/print-receipt-action.component.tsx
deleted file mode 100644
index 3caa2948e..000000000
--- a/packages/esm-billing-app/src/invoice/print-bill-receipt/print-receipt-action.component.tsx
+++ /dev/null
@@ -1,34 +0,0 @@
-import { Button } from '@carbon/react';
-import { Printer } from '@carbon/react/icons';
-import { showModal } from '@openmrs/esm-framework';
-import React from 'react';
-import { useTranslation } from 'react-i18next';
-import { MappedBill } from '../../types';
-
-type PrintPaidBillReceiptActionProps = {
-  bill: MappedBill;
-};
-
-const PrintPaidBillReceiptAction: React.FC<PrintPaidBillReceiptActionProps> = ({ bill }) => {
-  const { t } = useTranslation();
-
-  const handleClick = () => {
-    const dispose = showModal('paid-bill-receipt-print-preview-modal', {
-      onClose: () => dispose(),
-      bill,
-    });
-  };
-  return (
-    <Button
-      kind="secondary"
-      size="sm"
-      disabled={bill?.status !== 'PAID'}
-      onClick={handleClick}
-      renderIcon={Printer}
-      iconDescription="Add">
-      {t('printRecept', 'Print receipt')}
-    </Button>
-  );
-};
-
-export default PrintPaidBillReceiptAction;
diff --git a/packages/esm-billing-app/src/invoice/print-bill-receipt/receipt-print-button.component.tsx b/packages/esm-billing-app/src/invoice/print-bill-receipt/receipt-print-button.component.tsx
new file mode 100644
index 000000000..6ccc6a130
--- /dev/null
+++ b/packages/esm-billing-app/src/invoice/print-bill-receipt/receipt-print-button.component.tsx
@@ -0,0 +1,55 @@
+import { Button } from '@carbon/react';
+import { Printer } from '@carbon/react/icons';
+import { showModal } from '@openmrs/esm-framework';
+import React from 'react';
+import { useTranslation } from 'react-i18next';
+import { MappedBill, PaymentStatus } from '../../types';
+
+interface ReceiptPrintButtonProps {
+  bill: MappedBill;
+}
+
+const ReceiptPrintButton: React.FC<ReceiptPrintButtonProps> = ({ bill }) => {
+  const { t } = useTranslation();
+
+  const isPrintingDisabled = shouldDisablePrinting(bill);
+
+  const handlePrintClick = () => {
+    const dispose = showModal('paid-bill-receipt-print-preview-modal', {
+      onClose: () => dispose(),
+      bill,
+    });
+  };
+
+  return (
+    <Button
+      kind="secondary"
+      size="sm"
+      disabled={isPrintingDisabled}
+      onClick={handlePrintClick}
+      renderIcon={Printer}
+      iconDescription={t('printReceipt', 'Print receipt')}>
+      {t('printReceipt', 'Print receipt')}
+    </Button>
+  );
+};
+
+/**
+ * Determines if receipt printing should be disabled based on bill status
+ * @param bill - The bill to check
+ * @returns true if printing should be disabled, false otherwise
+ */
+function shouldDisablePrinting(bill: MappedBill): boolean {
+  const hasPayments = bill.payments.length > 0;
+  const hasExemptedItems = bill.lineItems.some((item) => item.paymentStatus === PaymentStatus.EXEMPTED);
+
+  // If there are exempted items, we need special handling
+  if (hasExemptedItems) {
+    return !hasExemptedItems;
+  }
+
+  // For regular bills, disable if there are no payments
+  return !hasPayments;
+}
+
+export default ReceiptPrintButton;
diff --git a/packages/esm-billing-app/translations/en.json b/packages/esm-billing-app/translations/en.json
index 569b0e2ba..392a2691a 100644
--- a/packages/esm-billing-app/translations/en.json
+++ b/packages/esm-billing-app/translations/en.json
@@ -234,7 +234,6 @@
   "printingInvoice": "Printing invoice...",
   "printInvoice": "Print invoice",
   "printReceipt": "Print receipt",
-  "printRecept": "Print receipt",
   "proceedToCare": "Proceed to care",
   "processClaim": "Process Claim",
   "processing": "Processing...",