Create a supplier credit note

There are two ways to create credit notes:

• Credit an invoice - Use this to cancel an invoice or when the credit note exactly matches a single invoice
• Create the credit note and match it to invoices later - Use this when your supplier has sent you credit to use against future purchases. Or, if you use the credit note to pay more than one invoice. Once saved, match the credit note to the relevant invoice/s

Credit notes for stock items

We track your stock by recording stock movements each time you buy and sell stock. Each stock movement has a type, which records whether you've added or removed the stock.

Whenever you include stock items on a purchase credit note, we create a Negative Goods In stock movement. This automatically reduces your stock level.

Create a single credit note

1. From Purchases, select Purchase Credit Notes.
2. Enter the supplier, date, and reference.
3. Enter the details of the items you've credited. Enter each item on a separate line. Make sure you include the description, ledger account, price, and VAT rate.
4. If the credit note is for purchases from a VAT-registered supplier in the EU, enter in the Goods/Services box.
5. If required, enter any notes.
6. If you want to come back and update the credit note later, choose Save as draft.
7. If you want to attach a file, select the attachment option. For more information, follow our article on how to add attachments.
8. When you've finished, select Save.

Once saved you can allocate the credit note to an invoice later. Follow our article on how to allocate a standalone credit note to an invoice.

• Delete a purchase credit note
• Pay purchase invoices
• Supplier refunds