Starting Apr. 21, 2018 the full credit note including each line is loaded into Flowrev - prior to this date only the credit note summary was loaded.
For fully loaded credit notes, users can create schedules for credit note lines just as they do for invoice or bill lines. These schedules can be created whether the credit is allocated to an invoice/bill or not.
For credit notes loaded prior to Apr 21, 2018 read below -
Users create credit notes within their accounting system using the standard credit note process therein. And allocate it to invoices or bills.
When the Organisation data is syncd ("Update Selected") to Flowrev, the credit note will be pulled over and will appear on invoices/bills to which it has been allocated. If the credit note is not allocated to any invoice or bill, it will be in the listing in the "ORG > Credit Notes" page.
Account receivable credit note amounts will show in "Sales" offsetting the numbers for the month, and therefore offsetting "Revenue" in the summary report on the Home or Revenue page. Account payable credit notes will offset "Bills" therefore "Costs".
There are two scenarios for handling of recognition schedules with credit notes:
- The full invoice amount has been credited to the user.
If the invoice or bill lines have recognition schedules, the user needs to cancel the full schedule of each invoice/bill line. When the system asks for confirmation of cancel, select the "I need to cancel due to credit note allocations" option. For details, see the solution article: What happens when I cancel/reverse a schedule?
- A partial amount has been credited to the user.
If the invoice or bill lines have recognition schedules, the user can cancel a part of the schedule equaling the amount of the credit note, using the appropriate cancel button on the schedule. When the system asks for confirmation of cancel, select the "I need to cancel due to credit note allocations" option. Upon confirmation, prior syncd elements of the schedule will be reversed, and pending syncd elements canceled, as is detailed at: What happens when I cancel/reverse a schedule?
Note: Prior to cancel Flowrev will seek confirmation, and if a user selects the "I want to cancel because of credit note allocations" option, Flowrev will ensure only the allocated credit note amount is "applied" to the line schedule even if the user cancels a larger amount on the schedule.
Upon schedule cancel, any reversals will be syncd back to Xero upon the respective periods sync, and complete the process - for the journals see the article referenced above.
Example: $1,200 invoice, $400 credit note