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Create credit note not attached to an invoice

Hi, is there any way I can create a credit note without having to link it to an invoice? I thought I read that you could, but when I try it it won’t save with a “Invoice value must be greater than zero” warning.

I have a client who is in a self-billing system, his customer pays him commisions based on sales of their services then provide him with a sales invoice which I enter. Due to current restrictions there have been a lot of order cancellations and client is now in a negative commission situation. He will not actually be paying the money back, the customer is, at present anyway, happy to let it sit until restrictions in his sector are lifted and he can start selling again.

Thanks

I’m confused. What are you trying to credit against? If no self billing invoice has been issued, then there’s no credit note?

If you create a credit note that isn’t attached to an invoice, then it will create a credit in a bank account. But you said no money is being returned.

So what exactly are you crediting against? That bit hasn’t been made clear.

You should be able to create a negative-value invoice from scratch, but that only allows you to refund, not hold credit on account for future. The workaround is to make the refund from a spare bank account such as Director Loan, then immediately create a new prepayment for the same client on the same date to the same account.

The self billing invoice has been issued and paid but there have been cancellations to services after payment was received. The end user is allowed a refund under the consumer credit act therefore my client ultimately loses his commission earnings on that sale too. I need the credit to sit in the customer account to be applied in the future, the same way it can be done on a supplier account.

I can’t create a negative invoice at all, even one that can be paid into a contra account. It will be very messy that way anyway, they’re in a sector that’s volitile at the moment with Covid, the self billing invoices are weekly, varied and at the moment more negatives and positives.

That’s strange - I can definitely create one in my own QuickFile account. I create a new invoice and as soon as I make it a negative value the UI changes from an invoice to a credit note. It does have to be a completely new invoice created from scratch though, it can’t be created by copying an existing invoice. Also it looks like the qty column can’t be negative, so it has to be a negative “unit cost” with a positive quantity rather than vice versa.

Just checked this again, I was originally attempting to raise a negative invoice from a copied one, which as you’ve explained doesn’t work. I can raise an original negative invoice, but I’m wondering if there’s any way I can leave it on account instead of having to refund it? The sector he is in is going to have regular negative invoices for the forseeable future, to have a load of refunds into a contra account will be very messy

What Quickfile needs is transactional accounts!

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It’s not something they support at present in QuickFile, though it’s a feature that has been requested many times (usually by @Lurch :wink: ). The contra account refund-and-immediate-prepayment trick is the only way I know of to handle it at the moment.

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