Using credit notes

You can use credit notes for the transaction types of different categories, such as:

  • Sales Credit Notes
  • Purchase Credit Notes
  • Sales Invoices
  • Purchase Invoices

Using a Sales Credit Notes category

If you use one of the transaction categories Sales Credit Notes or Purchase Credit Notes, you must enter a positive amount.

The Negative Amount for Credit Notes parameter in the Transaction Types (tfgld0511m000) session, where the transaction type is defined, determines if the credit note is posted as a negative or positive amount. If this check box is selected, LN saves and regards the amount that was entered as a negative amount.

Example

A credit note of USD 800 is entered for a transaction type of a Credit Note category. You enter a positive invoice amount of USD 800. Two scenarios are possible:

  • If the Negative Amount for Credit Notes check box in the Transaction Types (tfgld0511m000) session is cleared for the used transaction type, a credit amount of USD 800 is posted to the ACR control account. The default value for the transaction line is then a debit of USD 800.
  • If this check box is selected, a debit amount of USD -800 is posted to the ACR control account. The default value for the transaction line is a credit of USD -800.

Using the Sales Invoices or Purchase Invoices transaction category

If you use a transaction type that belongs to one of the categories Sales Invoices or Purchase Invoices, you can create a credit note by entering a negative invoice amount in the invoice header.

Note: You can only create a credit note in this way if the Negative Amount for Credit Notes check box in the Transaction Types (tfgld0511m000) session is selected for the used transaction type. If this check box is cleared, you cannot enter a negative invoice header amount.

Example

A credit note of USD -800 is entered for a transaction type that belongs to the Sales Invoices category. When the credit note is posted, LN debits the ACR control account for -800. The default amount for the entry of the sales invoice transaction lines in the Transaction Type session is -800 credit.

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