How do I raise a debit note to a vendor?
Use Vendor Invoice Memo. For returned goods it is raised by itself from the purchase return when a memo journal is set; otherwise enter it with the free-text memo journal.
Before you start
- For goods: the purchase return order exists.
Steps
- Open Vendor Invoice Memo, pick the memo journal and the vendor.
- For a return, pick the return Purchase Order and its lines. For a claim, add a line with the Account that receives it, quantity 1 and the amount.
- Save as Posted.
Check it worked
- The next payment to the vendor lists the memo as a negative line; or net it on Vendor Settlement.
What posts
| Document | When | Debit | Credit |
|---|---|---|---|
| Vendor Invoice Memo | Save as Posted | The vendor's payable account | Each line's account (or the return's accounts), and the input tax reversed |
If something looks wrong
- "Payment Term cannot be Empty" The vendor has no payment term in this company.