Definition
An credit invoice or “credit note” is an accounting document that corrects and/or cancels an already issued invoice. In fact, anti-fraud laws prohibit the deletion of an already issued invoice.
In which situations should a credit invoice be issued?
A credit invoice should be issued in the following cases:
- to cancel an unpaid invoice,
- to refund a paid invoice,
Why would you want to cancel/refund an invoice?
- due to an error on an invoice,
- as part of a commercial gesture such as a discount or rebate,
- due to the customer exercising their right of withdrawal (Article 121, Subsection 6 of Law No. 2014-344),
- due to customer dissatisfaction.
What should a credit invoice contain?
A credit invoice should include at least:
- a unique number belonging to a chronological series,
- the number of the invoice being canceled/refunded,
- all lines and amounts to be canceled in net and gross amounts,
- the refund amount if applicable.