How to Process an Credit Note in ZOHO Books

How to Process an Credit Note in ZOHO Books

What is a Credit Note?

A Credit Note  is a document issued to a customer to reduce the amount owed due to:

• Product returns
• Overpayments
• Billing errors

Step 1: Go to the Credit Notes Toolsbar and choosing the Customer 

• From the left-hand sidebar, go to:
• Sales > Credit Notes
• Click the “+ New” button at the top-right corner.
• From the Customer dropdown, select the customer you are issuing the credit note to.

N.B : Reference # (None-optional): Use this for tracking returns, original invoice number. 

Step 2: Add Line Items or Services

• If the credit note is not linked to an invoice, you can manually enter items.
• Click “+ Add Item”:
• Choose from your inventory/services list or add a new item.
• Enter Quantity, Rate, and any Tax if applicable.

• The system will automatically calculate the total credit, as demonstrated below 

• scroll down and click "Save as open"

• After saving the invoice check the plugins web platform - https://plugins.fiscalharmony.co.zw/ , for any errors - in the logs  
• If there are no errors, procced to - https://app.fiscalharmony.co.zw/ to view and download the final Invoice