How to Create a Credit Note
Credit notes are used to issue refunds or credits to clients. They reduce the outstanding balance on invoices.
Step 1: Navigate to Credit Notes
Click "Credit Notes" in the sidebar, then click "New Credit Note".
Step 2: Fill in Details
- Client (required) — Who the credit is for.
- Credit Note Number — Auto-generated.
- Date — When the credit note is issued.
- Reference Invoice (optional) — The invoice this credit relates to.
- Notes — Reason for the credit.
Step 3: Add Line Items
Add the items being credited with descriptions, quantities, rates, and tax categories — similar to invoice line items.
Step 4: Save
Click "Create Credit Note". The credit note is saved and the credited amount is tracked against the client.
💡 Tip:
Credit notes provide a professional way to handle refunds and billing corrections while maintaining a clear audit trail.