Credit Notes

A credit note (also called a corrective invoice) is issued to partially or fully cancel a previously approved invoice.

Creating a Credit Note

From an Existing Invoice

1. Open the original invoice.
2. Click + Create Credit Note.
3. The credit note form opens pre-filled with the original invoice's fields.
4. Adjust the amounts to reflect the credit being granted (e.g., full reversal or partial amount).
5. Enter the Credit Note Number (from the supplier).
6. Click Submit for Approval.

The credit note goes through the same approval workflow as a regular invoice.

Manual Credit Note

1. Navigate to Invoices.
2. Click + Create.
3. Set the Document Type to Credit Note.
4. Fill in the fields manually.
5. In the Linked Invoice field, search for and select the original invoice.
6. Click Submit for Approval.

Linking a Credit Note to an Invoice

Credit notes are automatically linked to the original invoice when created via the Create Credit Note button. For manually created credit notes, use the Linked Invoice field in the form.

Once linked, the credit note appears in the Credit Notes tab of the original invoice.

Accounting Treatment

When a credit note is exported, the GL entries reverse (or partially reverse) the original invoice's entries. The accounting system receives both the original entries and the reversal entries.