How to Create a Credit Note

Credit notes are available with Partner and Team. Starter includes payment reversal for correcting a payment without changing the sale.

Open Credit Notes and choose New Credit Note, or choose Issue Credit Note from an issued invoice. Check the client, related invoice, issue date and currency, then enter a reason and optional notes.

Add line descriptions, positive quantities, nonnegative unit prices and tax percentages from 0 to 100. Each line is rounded before totals are added.

Save Credit Draft keeps the credit in Draft without reducing the invoice balance. Only drafts can be edited or deleted from the detail page. Enter a valid calendar date when saving changes.

Open the draft and choose Apply to Invoice. After confirmation, the credit becomes Issued and reduces the linked invoice balance. The edit form does not change credit status.

Creating or applying a credit does not send money. Return money through your bank or payment provider, then record an eligible refund on the issued credit. A credit with a recorded refund cannot be voided.