Correct a bill you have already sent, on a product or a service.

A credit note is for a money correction: the wrong price went on the bill, the tax was wrong, or you agreed a reduction after the fact. It works on anything the bill charged for, so a grooming session you have agreed to reduce is credited the same way a bag of food is.

Nothing has to come back for a credit note. If goods are physically returning to you, record a sales return as well. You can raise both against the same bill when both things happened, and neither one uses up the other.

Before you start

The bill has to exist already. A credit note is always raised against one invoice, so create and save the invoice first.

Raise the credit note

  1. Go to Invoices → Credit Notes.
  2. Press Create Credit Note.
  3. Pick the bill you are correcting. Until you do, the lines area says Pick a bill first.
  4. Under What are you giving back?, find the line you are crediting.
  5. Type the number in Credit qty. The grey of 6 next to the box is the most you can still credit on that line. A larger number drops back to that limit on its own.
  6. Fill in Notes with the reason, so the customer and your team can both see why.
  7. Press Issue.

You can also start one from the bill itself. Open the invoice and press Create Credit Note there, and the bill is already filled in.

Putting stock back on the shelf

Back in stock is a separate question from the money, and it is off until you tick it.

Tick it only when the item is physically back and fit to sell again. A damaged item is credited and thrown away, so it is credited without being restocked.

Two lines never offer the tick and show a dash instead:

  • Services. A service can be credited like anything else, there is nothing to put back on a shelf.
  • Anything a sales return already put back. The units are on the shelf once already, and ticking it here would count them twice.

Credit notes and sales returns on the same bill

A return is goods coming back, so it only ever applies to products. A credit note is a money correction, and applies to anything the bill charged for, services as well as products.

They answer different questions, so they are counted separately. Crediting a line does not reduce what a sales return can still take back on that line, and a sales return does not reduce what you can still credit.

Both screens show the other receipt against the same bill, so nobody raises a second one by mistake. On a credit note you see any sales return that has been completed. A return still sitting as a draft is not shown, because nothing has come back yet.

If a line will not let you credit anything

The lines area says Nothing left to credit on this bill when every line has already been credited in full. Open the bill and check the credit notes already listed against it.