Guide Categories
Credit Notes
Create and manage credit notes issued to customers for refunds or invoice corrections.
Overview
The Credit Notes tab allows you to create, review, and manage credit notes issued to customers. These credit notes function like inverted invoices, serving as documentation of refunds or cancellations associated with previously issued invoices.
Note
Credit notes reduce the customer's accounts receivable balance and can be used for returns, refunds, or corrections to previous invoices.
Creating a Credit Note
To create a new credit note:
- Navigate to the Credit Notes tab
- Click New Credit Note
- Select the customer for whom the credit note is being created
- Enter the credit note details including amount and description
- Optionally link to a related sales invoice
- Save the credit note
Key Information Fields
| Field | Description |
|---|---|
| Date | The issue date of the credit note |
| Reference | Reference number assigned to the credit note |
| Customer | The customer for whom the credit note was created |
| Sales Invoice | Reference to related sales invoice (optional) |
| Description | Additional details describing the credit note |
| Amount | Monetary value stated on the credit note |
Pro Tip
When linking credit notes to sales invoices, you maintain a clear audit trail that helps with customer service and financial reporting.
Common Use Cases
- Processing customer returns for defective or unwanted products
- Correcting errors on previously issued invoices
- Providing refunds for overpayments
- Adjusting billing for cancelled services
- Offering discounts or price adjustments
Best Practices
- Always provide clear descriptions for credit notes
- Link credit notes to original invoices when applicable
- Keep supporting documentation for all credit notes
- Process credit notes promptly to maintain customer satisfaction
- Review credit note patterns to identify potential issues
- Ensure proper authorization for larger credit amounts