Working with vendor credit memos

If you return an item to a vendor or receive a refund, you can create a vendor credit memo. You can apply vendor credit memos toward outstanding bills from the vendor who issued the credit memo in the issue payment form.

When you save a vendor credit memo, it is posted. Because a vendor credit memo affects accounting, you cannot delete it. If you need to redo a vendor credit memo, you can edit it or void it.

You can view all vendor credit memos on the vendor credit memo List.

Credit memo is also known as credit note.

You can use the vendor credit memo due to following reasons:

• Misapplication of sales tax requirements
• Cancellation of order
• Not according to specifications mentioned in the order
• Any change in the requirements in previously placed order