Using Customer Credit Note

Sales CustomerCredits

The Customer Credit Note | Credit Memo can be used in following ways:

  • Allow a Customer to buy goods or services on a future date at specified amount.
  • Credit Notes can be used to adjust incorrect invoice values in Sales Ledger.
  • When a Customer returns goods, Credit Note is used to adjust the accounts and confirm receipt of the goods by sending a Credit Note to the Customer.
In Salesorder, a credit note is defined using a Customer Credit Note Document.
 

New Customer Credit Note

Customer Credit Notes can be issued in the following ways:

Use Customer Master

To issue a Credit Note, go to:

SALES > Customers > Select Customer > Actions > New Credit Note

Use Sales Invoice

To issue a credit note, go to:

SALES > Sales Invoices > Select Invoice > Actions > Create Credit Note

Use RMA

To issue a credit note, go to:

SALES > RMAs > Select RMA > Actions > Create Credit Note

Transactions on Customer Credit Note

You can issue Refunds using a Credit Note Document. Refer Using Customer Refund

Customer Credit Note Document: Configuration

To configure Customer Credit Note document, go to:

SETUP > Configuration > Customer Credit Note 

Or

SALES > Customer Credit Notes > Select Customer Credit Note > Configure

The following configuration options are available:

New Template

You can create new Customer Credit Note Document templates using this option.

For more details on how to implement this, refer Setup Print Template

Customize Fields

The Salesorder app allows you to customize fields, sections or tabs in a Credit Note document.

For more details on how to implement this, refer to Using Customization.
General tab

Default Credit Note Template

Using this option you can choose a print template for the Credit Note document. This template defines the layout of the Credit Note document when its being printed.

Salesorder app provides default templates like:

  • Standard,
  • Time and Materials,
  • Services and
  • Professional.
Each Template is relevant for different types of businesses, such as product and service companies.

To learn more about templates, refer Setup Print Template
Reference # Generation tab

Use Auto-generated Ref #

Reference numbers can be set to auto-generate by checking this option.

Ref # Prefix

You can prefix reference numbers for meaningful distinction and recognition. For example:

  • Credit Note can be prefixed as CN321
  • Sales Invoices can be prefixed as SI345
  • Customer Payments can be prefixed as CP234.

Current Sequence Number

Reference numbers can be set to increment from a fixed starting point.

For more details on customizing Ref #s, refer Using Ref #s (Reference numbers)

Customer Credit Note Document: Reference

Fields in first Section

Customer Customer Name
Customer # Customer Ref#
Owner The user creating or owning this document. See Using Owners
Tax Date The date for Tax purposes, i.e. when the Income was collected. By default, it is the document creation date. This is also the date from when the Payment terms commence.
Ref # The unique identifier for this Document.
Status The Accounting Status of this Document:

Open: Credit Note has not yet been allocated.

Allocated in Full: All credit has been applied (either to an unpaid invoice or during a payment)

OverPaid: Credit Note has been Fully Allocated and also refunded.

Void: Document is not in use.

Template The Template applied to this Document. See Using Document Templates.
Currency The Currency in which this Document is presented. See Using Currencies.
Exchange Rate The exchange rate applied to the relationship between this Document’s currency and the base currency of your general ledger. See Using Currencies.

Fields in second Section

Customer Ref A unique reference originating from the Customer i.e. Purchase Order #.
Contact The main or a selected Contact. In Edit mode you can select from the associated List of Contacts.
Telephone The phone number associated with the above Contact.
Email The email address associated with the above contact, and where this document will be emailed from a List or the Document itself.
Emailed on The date on which this document was emailed to the Customer.
Printed on The date on which this document was printed.
Our Ref Reference # of parent document - Cash Sale, Customer, Credit Note, Customer Payment document.
Job A reference to the Jobs List.
A/C Memo A note to the General Ledger
Price List The Price List applied to this Document. See Using Price Lists.
Tax Code / Group The default Tax code inherited from the Customer and applied to Line Items on this Document. You can change the Tax code on an Item. See Using Taxes.
Price Level The Price Level applied to this Document. See Using Price Levels.
Valid Until: The expiry date of the unallocated credit.
Default site The site from which a subsequent Sales Order would be fulfilled.
Tabs

Items

You can view all the Item details such as Description, Unit Price, Qty, Discount, etc.for which the Credit Note has been issued.

To issue Credit Note for an arbitary amount, click Enter under Item column. This will insert a N/A line item row, you can enter the amount details.

To learn more, refer Using Line Items

Notes

You can add notes to the document. To learn more, refer Using Notes

Addresses

You can mention billing, shipping and payment addresses using this tab. To learn more, refer Using Addresses

Customer Message

Add a message to the Customer.

Classification

Refer Using Classifications

Customer Credit Note Document: Settings

The document settings are available when creating | editing | viewing a Customer Credit Note document (create | edit | view mode).

The following settings are available:

Save

(available in Create | Edit mode)
Saves the Document and posts the values to the Sales Ledger.

Edit

(available in View mode)
Edit the Credit Note document.

Find

(available in
Edit | View mode)
You can use this option to find:

  • Refunds issued againsted this Credit Note.

Actions

(available in
View mode)
Actions can be used to perform various tasks on a Credit Note document:

Create Refund

You can issue a Refund against this Credit Note.

In case, Customers wish to convert their Credit to Cash, you can issue a Refund against the Credit and specify the payment method in the Refund document.

Refer Using Customer Refunds

Show Account Entries

View entries for the Credit Note in the General Ledger.

Show History

You can view the complete history of the Credit Note Document and who has performed them.

Take Ownership

You can transfer document ownership using this option.

Void this document

Documents can be voided to imply that they are not in use. It is a soft delete.

Voided Documents remain in the system and are set to Void status. You can still search for the document on the app.

Once a Document is voided it cannot be edited or changed in any way (you can attach a Memo though).

It will also remove the corresponding entries from General Ledger.

Delete

This option permanently deletes the Document from the Salesorder app.

You cannot recover the document once it is deleted. Also, you will not be able to search for the document in the Salesorder app.

However, you do have an option to view the history of the deleted Document.

Go to, ACCOUNTING > Find Transactions > Search Document History

Hence, caution is advised in using the Delete option.

Print

(available in
Edit | View mode)
You can print Credit Note document using this option.

The document is printed as a PDF and the print style and layout depends on the template set for the document.

Refer to the Template field in the Reference section in this article.

Email

(available in
View mode)
You can send emails directly from the Credit Note document. The email message will automatically include the Credit Note document as a PDF attachment.

  • Blank Message
  • You can compose and send a custom email using this option.

  • Issue Credit Note
  • You can send an email to notify the Customer about the Credit Note issued.

To learn more , refer Using Email

Configure

(available in
Create | Edit | View mode)
Takes you to the Customer Credit Note configuration screen. Discussed in the Configuration section in this article.

Help

(available in
Create | Edit |
View mode)
Takes you to the Salesorder help documentation.

In this article

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