Set up a sales credit memo

Overview:

Learn to set up a sales credit memo from a posted sales return order.

Learn to set up a sales credit memo without using a sales return order.

Note: Use a sales return order when you have warehousing options enabled in your location.

Why set up a sales credit memo?

A sales credit memo, when posted, reduces the amount a customer needs to pay for an invoice. This reduction can occur when a sales return order is posted into a sales credit memo or when a sales credit memo is set up independently.

Note: If your location is set up for warehousing, you will require a sales return order to record the return of goods accurately. Additionally, you can set up a credit memo for transactions to adjust the amounts in your general ledger accounts, reflecting returns, discounts, or other necessary corrections.

Note: Here’s how to use sales return orders with different warehousing options selected:

How to set up a sales credit memo?

You can set up a sales credit memo without using a sales return order when you use:

1. 1. A location without warehouse setup;
  2. The general ledger accounts for sales credits.
On your Wiise landing page, select Sales. Then, from the drop-down menu, select Sales Credit Memo.
Note: You can search for Sales Credit Memos on the top right-hand corner of the page. Select the related link. The list displays.
Select +New to set up a sales credit memo.
The Sales Credit Memo card displays. There are six fast tabs also known as sections, to update. These sections are General, Adjustment Lines, Lines, Credit Memo Details, Billing and Foreign Trade.
Fill in the necessary details:
1. General Section:
  
  Note: Select Show More in the top right corner of the section to see more details to complete.
  1. Select the Customer Name for whom the credit memo is being set up.
  2. Update the Posting Date on which the credit memo is to be posted.
  3. Update the Document Date as the date of the original transaction if it is different from the posting date.
2. Adjustment Details Section:
  1. Select the horizontal three dots to select the Adjustment Applies-to document number, and then select a Reason Code for the credit memo.
3. Lines section:
  
  Note: In the Lines section, enter details of items being returned or adjustments being made.
  1. Select the Type of credit memo you’d like to set up, such as for an Item or G/L Account.
  2. Enter the correct No., from the drop-down list. You can update the Description to indicate the reason for the sales credit memo.
  3. Update the Quantity of items being returned or being adjusted.
  4. Update the Unit Price of the item. If there’s an adjustment update the correct amount.
4. Credit Memo Details section:
  1. Toggle on the Price Include GST/VAT button if the credit is subject to GST or VAT. Otherwise, you can leave it toggled off.
  2. The GST/VAT Business Posting Group and Payment Terms Code will automatically update based on your customer selection.
  3. If you use Department Code and Project Code dimensions, then you can update them from the drop-down list.
5. Billing Section:
  1. All details will update automatically based on your customer card setup.
Select Release to change your open status to released. Then, select Home. Select Post. Then, select Post again.
A message displays confirming if you want to post the credit memo. Select Yes to post the credit note or No to remain on the page.
1. The credit memo will post. A message displays to confirm if you want to open the posted credit memo. Select Yes to view the posted document or No to exit the screen.
You’ve set up a sales credit memo.

Note: To reverse specific document lines from a posted sales invoice, use the Correct or Cancel actions available on the posted sales invoice page. These actions allow you to create a corrective sales credit memo automatically without setting up a new credit memo manually.

What’s next?

Find out how to raise a credit note using the Cancel action, using the Correct action, or using the Corrective Sales Credit Memo action.

Need more help?

No problem, that's what we're here for. Reach out to support@wiise.com anytime you can't find what you're looking for.