New Supplier Debit Note

New Supplier Debit Note

A Supplier Debit Note reduces what you owe a supplier. Use it when you return goods, were overcharged, or agreed a credit after the bill was booked. It reverses the cost, takes the stock back out of your warehouse, and reduces the balance in Accounts Payable.

Where to find it

Go to Purchases > Debit Notes > New Direct Debit Note. To raise one against a specific bill instead, use Invoices To Debit Note.

The terminology mirrors the sales side. What a customer receives from you as a credit note, you issue to your supplier as a debit note — you are debiting their account because they owe you.

Before you start

  • The supplier must exist and have a transaction history.
  • The stock being returned must be available at the location it is going back from.
  • The accounting period must be open for the debit note date.
  • You need the SA_SUPPLIERCREDIT permission.

Header field reference

FieldRequiredDescription
SupplierYesWho the debit note is against.
DateYesThe date the credit is recognised. Stock and ledger entries post on this date.
Due DateNoWhere the credit is expected to be settled by a date, record it here.
ReferenceYesYour unique identifier for this document type.
Supplier's ReferenceNoThe supplier's credit note number, once they issue one.
Receive Into (Return From)YesThe warehouse the goods are leaving as they go back to the supplier. Stock is reduced here.
Deliver ToNoThe address the goods are being returned to.
WorkorderNoLinks the return to a production job where the material was bought for one.
Branch / DepartmentNoThe organisational unit and internal division the credit belongs to.
Receive Into works in reverse on a debit note. It is the location the returned stock is taken out of, not put into — check it points at the warehouse actually shipping the goods back.

Current Debit

The live balance with this supplier. Click the figure to see their full transaction and payment history before raising the credit.

Tax Included (Toggle)

SettingEffect
YesPrices entered are treated as including tax.
NoTax is calculated and added on top of the price entered.

Match this to how the original purchase was entered, so the reversal is the exact mirror of the cost it is undoing.

Barcode

Scan a product code to identify and add the returned item automatically.

Line Items

ColumnDescription
Item DescriptionThe item being returned.
Batch No / Exp DateBatch and expiry for tracked items — return the batch you actually received.
QuantityHow many units are going back.
PriceThe unit cost being credited, normally matching the original purchase.
Line TotalThe line value being credited.

GL Items

GL Items reverse non-inventory charges — a freight fee wrongly applied, an overcharged service, a duplicated professional fee. Use them where there is no stock to return but the bill still needs reducing.

Quick Entry for GL Items

  1. Go to Setup > Quick Entries, under the General Ledger section.
  2. Create an entry with Entry Type set to Supplier Invoice/Debit.
  3. It becomes available in the Quick Entry dropdown on this screen.
  4. Select it and enter the amount to fill the account splits automatically.

Total Details

FieldDescription
Sub-totalReturned items plus GL items before adjustments.
Discount(-) / Round Off(+) AmountA flat adjustment so the credit matches what the supplier has agreed.
TaxThe input tax being reversed.
Amount TotalThe total value of the debit note.

Comments

Record why the credit is being raised — "goods damaged in transit", "short shipment", "price corrected per supplier email". This is the first field anyone reviewing the transaction will read.

Attachments

Attach photographs of returned goods, the return authorisation, or the supplier's correspondence agreeing the credit.

Custom Fields

Add your own inputs where the standard form does not capture something you need. Enable under Setup > Preferences > Show Add Custom Field on Forms.

Action Buttons

ButtonWhat it does
UpdateRecalculates totals without committing.
Process Debit NoteFinalises the credit, moving stock and posting the ledger entries.

General Ledger

AccountEffect
Accounts PayableDebited — reduces what you owe the supplier.
Inventory AccountCredited — stock value falls as goods leave.
Input TaxCredited — reverses the tax originally reclaimed.
GL Item accountsCredited — reverses any non-stock costs being credited.
A debit note reduces the payable but settles nothing on its own. Until it is applied through Allocations, the original invoice still shows as outstanding in full.

Debit Note Report

For a consolidated view of returns and supplier credits, go to Reports > Purchases. Filter by date range and supplier, and export as PDF or Excel.

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