{"id":1913,"date":"2023-08-23T12:05:47","date_gmt":"2023-08-23T09:05:47","guid":{"rendered":"https:\/\/akaunting.com\/hc\/?post_type=glossary&#038;p=1913"},"modified":"2024-09-03T12:12:36","modified_gmt":"2024-09-03T09:12:36","slug":"credit-note","status":"publish","type":"glossary","link":"https:\/\/akaunting.com\/hc\/terms\/credit-note\/","title":{"rendered":"Credit Note"},"content":{"rendered":"<div id=\"akaunting-terms\">\n\n\n<h2 class=\"wp-block-heading\"><strong>What is a Credit Note?<\/strong><\/h2>\n\n\n\n<p class=\"entry-paragraph\">A credit note is a document issued by a seller to a buyer to show that the buyer has been credited for a purchase. It is used to cancel out a previous invoice or to issue a refund.<\/p>\n\n\n\n<p class=\"entry-paragraph\">Credit notes are typically issued for the following reasons:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li class=\"entry-paragraph\"><strong>To correct an error on an invoice:<\/strong>&nbsp;If an invoice contains an error, such as a wrong price or quantity, the seller will issue a credit note to correct the error.<\/li>\n\n\n\n<li class=\"entry-paragraph\"><strong>To issue a refund:<\/strong>&nbsp;If a customer returns goods, the seller will issue a credit note to refund the customer for the purchase.<\/li>\n\n\n\n<li class=\"entry-paragraph\"><strong>To reduce the amount owed by the customer:<\/strong>&nbsp;If a customer has a dispute with the seller, the seller may issue a credit note to reduce the amount owed by the customer.<\/li>\n<\/ul>\n\n\n\n<p class=\"entry-paragraph\"><a href=\"https:\/\/akaunting.com\/apps\/credit-debit-notes\" rel=\"noreferrer noopener\" target=\"_blank\" class=\"entry-links\">Credit notes<\/a> are typically issued in the same format as invoices, and they should include the following information:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li class=\"entry-paragraph\">The name and address of the seller and the buyer<\/li>\n\n\n\n<li class=\"entry-paragraph\">The date of the credit note<\/li>\n\n\n\n<li class=\"entry-paragraph\">The invoice number<\/li>\n\n\n\n<li class=\"entry-paragraph\">The description of the goods or services<\/li>\n\n\n\n<li class=\"entry-paragraph\">The quantity of the goods or services<\/li>\n\n\n\n<li class=\"entry-paragraph\">The price of the goods or services<\/li>\n\n\n\n<li class=\"entry-paragraph\">The amount of the credit<\/li>\n\n\n\n<li class=\"entry-paragraph\">The reason for the credit<\/li>\n<\/ul>\n\n\n\n<p class=\"has-text-align-center has-text-color has-link-color wp-elements-f03bbdaedb2a8a8966bd6fc3b09eff38\" style=\"color:#6ea152\"><a href=\"https:\/\/akaunting.com\/invoicing-software\">Invoicing Software for Small Businesses<\/a><\/p>\n\n\n\n<p class=\"entry-paragraph\">Credit notes should be signed by the seller and the buyer. The seller should then file them for future reference.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>What is the difference between a credit note and an invoice?<\/strong><\/h2>\n\n\n\n<p class=\"entry-paragraph\">The key difference between a credit note and an invoice is the purpose of the document. A credit note is used to show that the buyer has been credited for a purchase, while an invoice is used to request payment for goods or services.<\/p>\n\n\n<\/div>","protected":false},"menu_order":0,"template":"","letter":[23],"class_list":["post-1913","glossary","type-glossary","status-publish","hentry","letter-c"],"acf":[],"_links":{"self":[{"href":"https:\/\/akaunting.com\/hc\/wp-json\/wp\/v2\/glossary\/1913","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/akaunting.com\/hc\/wp-json\/wp\/v2\/glossary"}],"about":[{"href":"https:\/\/akaunting.com\/hc\/wp-json\/wp\/v2\/types\/glossary"}],"version-history":[{"count":6,"href":"https:\/\/akaunting.com\/hc\/wp-json\/wp\/v2\/glossary\/1913\/revisions"}],"predecessor-version":[{"id":2962,"href":"https:\/\/akaunting.com\/hc\/wp-json\/wp\/v2\/glossary\/1913\/revisions\/2962"}],"wp:attachment":[{"href":"https:\/\/akaunting.com\/hc\/wp-json\/wp\/v2\/media?parent=1913"}],"wp:term":[{"taxonomy":"letter","embeddable":true,"href":"https:\/\/akaunting.com\/hc\/wp-json\/wp\/v2\/letter?post=1913"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}