Credit Note: Items Section

Field

Used for

Warehouse

Select a warehouse from the list of warehouses to which goods are to be returned by the customer.

• The warehouse is populated from the Warehouse field of the return invoice once you select the Invoice. Hence, you may change the data in this field manually when required.
• When a customer is changed, the data in this field will be erased and you will have to refill it from scratch.
• It is a required field if at least one item has been added. In this case, if you delete this autocompleted warehouse and do not select an alternative one, you will not be able to save the document. 
• If multiple warehouses are not allowed in the system (Multiple warehouses option is turned off in My company settings), the Warehouse field will not be displayed on the form. All reservations or reduction of the in-stock quantity of goods will take place for the default warehouse selected in My company settings. For more details about defining inventory management settings, see My Company Settings: Inventory Tab.

Incoterms

Select the Incoterms according to which goods will be returned.

• Incoterms that are usually used for the given customer are provided automatically once you select the customer being retrieved from the customer record created in the Company directory. However, you can change the autocompleted Incoterms if necessary. 

Destination

City to which goods are to be transported. 

• Destination to which goods are usually delivered for the given customer is provided automatically once you select the customer being retrieved from the customer record created in the Company directory. However, you can change the autocompleted destination if necessary.

Method of delivery

Select a method of transporting goods to your customer from the list of delivery methods added to the system or create a new method of delivery. 

• Method of delivery that is usually used for the given customer is provided automatically once you select the customer being retrieved from the customer record created in the Company directory. However, you can change it if necessary.

Goods (pic)

Displays/shows the total number of line items added under the Goods tab.

Services (pic)

Displays/shows the total number of line items added under the Services tab.

Field

Used for

Good/Service

Select an item (good or service) that is to be returned by the customer from the list of previously created items. Certain item details will be provided automatically as the system will retrieve the relevant data from the respective item record, a base price list for the item and other related documents.

• Or, automatically add all items from this Invoice by clicking the Fill from invoice button.
• It is a required field. If you do not select an item, you will not be able to save the document.

Unit

A unit of measurement, whether it is a piece, a kilogram or a liter, etc.

• A base unit of measurement specified for the item is provided automatically.
• If several units of measurement are defined for the item forming the item's set of measurement units, you can select a unit from the set that is most suitable in a particular case. However, this unit will be used only for displaying quantities in the document, all inventory and accounting transactions will use the base unit of measurement into which the selected alternative unit will be converted according to the specified conversion ratio.
• When this collection is filled by clicking the Fill from invoice button the unit that was set in the invoice will be chosen.
• It is a required field. If you delete the unit and do not select an alternative one from the set, you will not be able to save the document. 

Available for return

The total quantity of the item that was sold to the customer with the current invoice and may be returned.

• If you select an alternative measurement unit for the item, the total quantity available for return will be automatically updated.  
• This quantity is provided automatically and you cannot override it.
• The field is absent for services.

Quantity

A number of items to be returned. State the quantity of items to be returned, although the stated quantity cannot exceed the quantity available for return. In case you choose the good that was not in the invoice you will not be able to set the quantity above zero for it. In case you have set the quantity of the chosen good that was more than the sold quantity, the quantity will be automatically decreased to the maximum possible quantity available for return. In case you will fill in services that were not in the invoice or the quantity that is bigger than the original in the invoice the return of such services will be written off as other expenses (incomes).

• Or, automatically add all items and their quantities possible for return from this Invoice by clicking the Fill from invoice button. Afterwards you will be able to change (decrease) the quantities if required and/or delete some items at all.
• The quantity is defined for the selected unit of measurement when it is changed the quantity will be reset.

Price

The price of one item defined for the selected unit of measurement. The price is set in the currency of the document. 

• The price is retrieved from a price list containing the most recent item price in the currency of the invoice. However, you can change this price to the price at which the item is returned if necessary. For more information about price lists, see Price List.
• Or, automatically add all of the item prices at which they were sold from this Invoice by clicking the Fill from invoice button.
• The price is either VAT inclusive or VAT exclusive depending on whether the Price includes VAT option is turned on or turned off. When you activate or deactivate this option, the price is recalculated.  

VAT

Select a VAT rate at which the item was charged VAT by the invoice.  VAT rates displayed are filtered based on a country in which you have to charge VAT on the item. As a rule, it is a country where your company is based. 

• VAT rates are retrieved from the VAT rate directory. If you sell goods/services within the country of your registration (domestic supplies), the standard rate, reduced or exempt rate is suggested automatically depending on the selected item. If you sell goods/services in other EU and non-EU countries (intra-community supplies or export), the selection of VAT rates suggested for use depends on the place of supply of your goods and services that is determined based on several factors. As a general rule, if you sell goods or services to customers outside the EU or to a VAT taxable person in another EU country, Export VAT rate is automatically set for all added goods and services. If you sell goods or services to a non-taxable person in another EU country, a domestic VAT rate is suggested for use, a relevant rate being determined according to the taxation rules applicable to domestic supplies. Also, Codejig ERP can determine the place of supply of telecommunications, broadcasting and electronic services and then suggest relevant VAT rates according to special cross-border VAT rules. If you provide the mentioned above services to a non-taxable person in another EU country, VAT rates applicable in a country of your customer are selected. However, you can change any of the autocompleted rates if necessary. 
• Or, automatically add all of the VAT rates for items at which they were sold from this Invoice by clicking the Fill from invoice button.
• The field is unavailable if VAT functionality is not activated in the system (the Use VAT option is turned off in My company settings, VAT Registration tab).

Net amount

It is the computed field.

Net amount - the total price of the goods or services excluding VAT charges.

• If the price of one item is VAT exclusive, the calculations are the following:

Price x Quantity

• If the price of one item includes VAT, the net amount is calculated in the following way:

Total amount / (1 + VAT rate / 100 %)

• The field is unavailable if your company is not identified as a VAT payer by the system. For information on how to set up your company as being registered for VAT and enable required VAT-related functionality,  see VAT Registration. 

VAT amount

It is the computed field.

VAT amount - VAT contained in a total amount which is inclusive of VAT.

• If the price of one item is VAT exclusive, the calculations are the following:

Net amount x (VAT rate / 100 %)

• If the price of one item includes VAT, the VAT amount is calculated in the following way: 

Total amount - Net amount 

• The field is unavailable if your company is not identified as a VAT payer by the system. For information on how to set up your company as being registered for VAT and enable required VAT-related functionality,  see VAT Registration.

Total amount

It is the computed field.

Total amount -  the total amount of line item goods or services in the specified currency including VAT.

• If the price of one item is VAT exclusive, the calculations are the following:

Net amount + VAT amount

• If the price of one item includes VAT, the total amount is calculated in the following way:

Price for one item including VAT x Quantity 

Field

Used for

Description

Add a description of the item that is returned.

• The field is autocompleted; item description, if provided, is retrieved from the item record. However, you can modify the description if necessary. 

• Or, automatically fill in the description and other information about the item from the invoice by clicking the Fill from invoice button. 

Inventory Account

Select an inventory account to which the item will be written off after being returned. The inventory account is debited with the cost of the quantity of the returned item if an invoice for which the credit note is created has been performing the delivery function.

If the Delivery is separated from the invoice function was turned on, it means that goods were not delivered to the customer, but only reserved for him on the transit account with the respective credit transaction. In this case, the credit note document does not return goods to the stated inventory account but decreases the good's reserve on the transit account that is filled from My Company Settings.

• The account is provided automatically based on an inventory account assigned to the item being retrieved from the item record created in the Item directory. However, you can change it if necessary.
• Or, fill automatically from the invoice the inventory account, to which the items will be written off with this invoice and other information on the item by clicking the Fill from invoice button.
• It is a required field. If you delete the autocompleted account and do not select an alternative account of the same type, you will not be able to save the document.
• The field is unavailable for services.

COGS Account     

Select a COGS account on which the COGS decrease from the return of the sold items is written off due to their return by the credit note document.

• The account is provided automatically based on a COGS account assigned to the item being retrieved from the item record created in the Item directory. However, you can change it if necessary.
• Or, fill automatically from the invoice COGS account for items that COGS of their sale was written off by this invoice, along with other information on the item by clicking the Fill from invoice button. 
• It is a required field. If you delete the autocompleted account and do not select an alternative account of the same type, you will not be able to save the document.
• The field is unavailable for services.

Income account

Select an income account on which the income decrease from the return of the sold items is written off, along with operation cancellation or providing of the discount with the credit note document.

• The income account is provided automatically for all added items being retrieved from the respective customer record created in the Company directory. In the customer record, an account for recording the revenue received from the sale of goods/services to the given customer has to be specified. If no income account is selected for the customer, the account is fetched for each individual item from its record created in the Item directory. In any case, you can change the autocompleted income account if necessary.
• Or, fill automatically from the invoice the income account for items on which the income for selling such items was written off by this invoice by clicking the Fill from invoice button. 
• It is a required field. If you delete the autocompleted account and do not select an alternative account of the same type, you will not be able to save the document.

Discount, %

Set a discount rate, that was included in the price of the item to be returned. A percent of an original price by which the item is discounted.

• Or, fill automatically from the invoice the discount that was set for items when sold by clicking the Fill from invoice button.
• If you change the discount rate, values in the fields Discount amount, Net amount, VAT amount and Total amount will be recalculated and updated. 

Discount amount

Amount that is taken off of the item price. It is calculated according to the specified discount rate.

• You can enter the discount amount manually. Then, values in the fields Discount rate, Net amount, VAT amount and Total amount will be automatically recalculated and updated. 

VAT rate, %

Displays VAT rate (in percentage) according to the chosen VAT type. The field is unavailable for editing and cannot be overridden.

• The field is unavailable if your company is not identified as a VAT payer by the system. For information on how to set up your company as being registered for VAT and enable required VAT-related functionality, see VAT Registration.