Credit note

A credit note reduces a previously invoiced amount, for example for returned goods, overbilling or an agreed price adjustment, while retaining a link to the original invoice. It may reduce an outstanding receivable or support a credit or refund after payment.[1]

Connect the adjustment to the invoice and relevant lines. Keep the accounting correction separate from the money movement: issuing a credit note does not automatically execute a refund.[1] Check whether any credit instead offsets a later invoice, so accounting records and customer expectations remain aligned.