Cancellation of paid duplicated VAT invoice

Support
1

We issued two invoices to a customer. Both were different amounts. Both included VAT . They are in a past VAT period. Customer paid the incorrect one. Invoices now locked.

Same situation happened the following month and invoices also locked

How do we cancel the “locked” paid invoices and use the money as credit against the correctly issued larger invoices?

2

Hello @Remidiah

As these have been reported on a vat return they neet to be reversed.

  1. Open the invoice > options > credit note
  2. Save and refund the credit note
  3. Pay the correct invoice using the same bank

  • The reversal and repayment would be reported on your next return

  • The refund and repayment would net off in the bank

3

Go into the paid invoices and do more options → credit note, there should be an option to hold the funds on the client account which will show as a “prepayment” for that client. Then go to the unpaid invoices, log payment, and tick the “apply from credit” box.