Create purchase credit notes

If a supplier sends you a credit note for all or part of an invoice, you can record this easily using the original invoice.

If you’ve already paid the invoice that the credit note relates to, you must delete or reverse the payment before you can raise the credit note.

To record a purchase credit note

If you’ve already created a credit note and you simply want to view the details, click Expenses > Purchase Invoices > click the credit note you want to view.

  • 1. Expenses > Purchase Invoices > click the invoice you want to record the credit against.
  • 2. Manage Invoice > Create Credit Note.
  • 3. Enter the date you received the credit note and if required, a reference for your records.
  • 4. If the credit is for part of the invoice, amend the quantity and unit price accordingly to reflect the values on the credit note from your supplier.
  • 5. If required, enter any notes > Save.

You’ve successfully recorded details of the credit note and it appears on the purchase invoice list with a negative value and shows as paid. The invoice shows as paid or part paid depending on whether you credited all or part of the invoice.

To void a purchase credit note

If you enter a credit note in error, you can’t delete it. Instead, you can void it. Voiding a credit note removes the values for it, but it remains in your accounts so the invoice and credit numbers remain sequential and you can view it if required.

If you use the standard VAT scheme and the credit note has been included in a VAT Return, you can’t void it. Instead to cancel the effect of the credit note, you need to create another invoice with the same details as the credit note entered in error.

  • 1. Expenses > Purchase Invoices > locate the credit note you want to void.
  • 2. Click the void button, , next the the relevant credit note.
  • 3. Enter the reason you want to void the credit note, for example, Entered in error > Save.

The status of the credit note shows as void and the invoice now shows the amount of the credit note as outstanding.