Debit Note

Debit Notes

Purpose

The Debit Notes feature is used to create and manage debit notes issued to vendors. Debit Notes are commonly used to record vendor charges, purchase adjustments, returns, corrections, shortages, damaged goods, pricing differences, or other financial adjustments related to procurement transactions.


Create

Create a New Debit Note

To create a Debit Note:

Step 1

Navigate to:

Purchase → Debit Notes

Step 2

Click New Debit Note.

Step 3

Complete the required information:

  1. Select the Vendor.

  2. Select the Discount Type.

  3. Enter the Debit Note Date.

  4. Select or enter items.

  5. Enter the Quantity (Qty).

  6. Enter the Rate.

  7. Add the item to the Debit Note.

Step 4

Click Save.

The Debit Note is created successfully.


Item Selection

Add Item

Select an item and add it to the Debit Note.

Remove Item

Remove an item from the Debit Note if it is no longer required.


Workflow Rules

Load Items by Vendor Enabled

When Load Items by Vendor is enabled:

  • The item selection list displays only items assigned to the selected vendor.

  • Vendor-item assignments are retrieved from Vendor-Items settings.

Load Items by Vendor Disabled

When Load Items by Vendor is disabled:

  • All available items are displayed.

  • Vendor-item restrictions are ignored.


View

To view a Debit Note:

Step 1

Navigate to:

Purchase → Debit Notes

Step 2

Select the Debit Note.

Step 3

Click View.

The Debit Note Details screen displays:

  • Vendor Information

  • Debit Note Date

  • Items

  • Quantities

  • Rates

  • Discounts

  • Total Amount

  • Related Transactions

  • Activity History


Edit

To modify an existing Debit Note:

Step 1

Navigate to:

Purchase → Debit Notes

Step 2

Select the Debit Note.

Step 3

Click Edit.

Step 4

Update the required information.

Step 5

Click Save.

The updated Debit Note is saved successfully.


Delete

Delete a Debit Note

Only Debit Notes that have not been:

  • Invoiced

  • Debited

  • Refunded

can be deleted.

Step 1

Navigate to:

Purchase → Debit Notes

Step 2

Click the Debit Note Number hyperlink.

Step 3

Click More.

Step 4

Select Delete.

Step 5

Confirm the deletion.

The Debit Note is permanently removed from the system.


Deletion Restrictions

A Debit Note cannot be deleted if:

  • It has already been invoiced.

  • It has already been debited.

  • It has already been refunded.

This restriction protects financial integrity and prevents modification of completed transactions.


Field Descriptions

Field Description
Vendor The supplier associated with the Debit Note.
Discount Type Determines how discounts are applied to the Debit Note.
Debit Note Date The date the Debit Note is issued.
Item Product or service included in the Debit Note.
Quantity (Qty) Quantity of the item being adjusted.
Rate Unit value applied to the item.

Status Behavior

Status Description
Draft Debit Note has been created but not finalized.
Active Debit Note is available for processing.
Invoiced Debit Note has been linked to an invoice.
Refunded Debit Note amount has been refunded.
Closed Debit Note processing has been completed.

Synchronization

Debit Note data is synchronized with:

  • Vendors

  • Vendor Items

  • Purchase Orders

  • Purchase Invoices

  • Refund Transactions

  • Accounting Records

  • Reports

  • Financial Analytics


Permissions

Permission Description
View Allows users to view Debit Notes.
Create Allows users to create Debit Notes.
Edit Allows users to modify Debit Notes.
Delete Allows users to delete eligible Debit Notes.

Important Notes

  • Debit Notes are used to record financial adjustments related to vendor transactions.

  • Vendor-based item filtering depends on the Load Items by Vendor setting.

  • Only eligible Debit Notes can be deleted.

  • Debit Notes associated with invoices, debits, or refunds cannot be removed.

  • Accurate Debit Note management helps maintain correct vendor balances and purchasing records.

  • Changes to Debit Notes may impact related accounting and reporting information.

Did you find this article useful?

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