Credit notes

A credit note is a document that a company issues to adjust a customer's balance and record a reduction in the company's accounts receivable. For example, this applies when a customer returns purchased goods.

A credit note is used in the following processes:

Process	Document purpose
Quote-to-cash	Apply a discount to an invoice issued to a customer. To do this, create a credit note with the Discount allowed operation. Adjust a customer's balance for a reason other than sales return or discount allowed. For example, record compensation for delayed goods delivery. To do this, create a credit note with the Accounts receivable adjustments operation.
Goods return from customer	Adjust a customer's balance due to goods return, including return of drop shipped goods. To do this, create a credit note with the Sales return operation. A credit note can also record the fact of goods return to a company's warehouse or, in the case of a drop shipped goods return, directly to the supplier's warehouse. This applies if the Credit note posts all entries, including inventory option is selected in a company's accounting policy.

Process

Document purpose

Quote-to-cash

Apply a discount to an invoice issued to a customer. To do this, create a credit note with the Discount allowed operation.
Adjust a customer's balance for a reason other than sales return or discount allowed. For example, record compensation for delayed goods delivery. To do this, create a credit note with the Accounts receivable adjustments operation.

Goods return from customer

Adjust a customer's balance due to goods return, including return of goods. To do this, create a credit note with the Sales return operation.

A credit note can also record the fact of goods return to a company's warehouse or, in the case of a drop shipped goods return, directly to the supplier's warehouse. This applies if the Credit note posts all entries, including inventory option is selected in a company's accounting policy.

1C:Drive stores all credit notes in the Credit notes list. To open it:

Go to Sales.
Under Return, click Credit notes.

In this list, you can perform the following actions with credit notes:

For the detailed description of credit note fields, see Credit note fields.