A credit note is also treated as a negative invoice which is used for canceling out the duplicate invoices or incorrect invoices. In Xero, a credit note is used to reduce the account receivable and account payable balance of a client. Creating a credit note is not always easy, but by taking the help of professionals, you can easily do it. One can reach out to professionals by dialing Xero contact number which stays available round the clock. People around the world irrespective of time and location constraints can speak with the experts to resolve their query.
If you think in which all scenarios you will need to create a credit note, then you have to go through below-mentioned cases:
- When you have issued an invoice to your customer and while making the payment customer noticed a mistake.
- If you have issued the invoice and even you have received the payment from the customer. But later customer returns some of the product which were purchased and for which payment was also made.
- After issuing the invoice if you are thinking about applying the discount to the invoice created.
- If your customer overpaid the payment for the invoice issued by you.
There are three methods by which you can create a credit note in Xero, and these are:
- By adding credit note directly to the existing invoice or bill – One should go with this option only when you are aware of the invoice in which you want to assign the credit note.
- Add the credit note to a supplier – You can choose this option only when you want to put the credit note on the supplier’s account so that it can be used on a later date.
- Copy the existing credit note – One can go for this option when they have already created the credit note for a similar product and then can copy this code whenever the same product appears.
- In Xero, go to Accounts and Sales, and for the bill, you need to select purchase.
- Now click on the Awaiting payment option to locate the invoice whose payment is not done.
- You will see the invoices of unpaid customers and then select the invoice in which you want to work by clicking anywhere on the invoice row.
- You will be shown the invoice details, and then you have to navigate to the upper right-hand corner to click on the button of ‘Invoice option.’ And select “Add credit note” from the list that opens up.
- In the new screen, you can see the new credit note. If you are willing to issue a credit note for the complete invoice, then you have to save or Approve it.
- Once credit note is approved, you can email it to your customer and then in the next screen you can see the updated invoice.
If you are still not able to create the credit note, then you should reach out to professionals via Xero customer service number. The experts at professional will help you in resolving the issue immediately, and one can reach these specialists at all time of the day.