Invoice / Bill - Copy to a Credit Note
You can only create credit notes to Invoices or Bills if these aren't marked as paid on Xero, or by creating them as new items from contacts or using upload via Hubdoc.
I think it would be beneficial to allow the creation of credit notes from bills or invoices that are already paid. Very often, there is a requirement for a credit note to be created when the bill/invoice is already paid. Adding the feature to allow creating credit notes based on the information already recorded on paid bills/invoices would save a lot of time in dealing with creating new credit notes.
Hi Wojciech, if an invoice or bill has already been paid there is no amount left outstanding for the invoice. It sounds like you'd like the ability to easily copy the detail of an invoice to a credit note? I've slightly updated the title of your idea here, for this.
If this doesn't quite reflect it'd be great to get more detail of scenarios you'd in which your business receives a credit note for a completely paid invoice or bill.
Louise Hepworth commented
This is an absolutely vital feature!
In an ecommerce business, if a customer makes a return for a refund then we need to generate a credit note. It would save so much time to be able to copy across the original sales invoice details as the refund is generally the same amount in reverse, or if not, the line items which are not for refund could be removed.
I can't believe this feature doesn't already exist!
Reardon Salisbury commented
We should be able to turn an invoice into a credit note, when having a minus figure.
Currently, when raising a multitude of sales invoices, I will copy and paste the previous invoice and change the figure to match my internal report. However, when I come across a minis figure, I will have to manually go through invoices> new credit note and copy all the information from the description over and post the credit, then go back onto invoices>new invoices for another new invoice, and keep fluctuating between the two constantly.
It would be beneficial if a positive figure on new invoice kept it as a sales invoice, and a minus figure the system could pick this up as a credit note :)
Wayne Pharries commented
I issue and receive credit notes and because I am a wholesaler, I receive many bills per month from the same suppliers and send many bills to the same customers. I pay bills in batches and receive payments in batches. Neither my suppliers or customers allocate credit notes to specific invoices on batch statements or remittances. That is an internal thing on both ends. It is not unusual for me to receive or issue a credit note on an invoice that has been previously paid. When I receive a credit, it looks exactly like a bill, except with a credit balance. It REFERENCES the original invoice or in some case multiple invoices. I like the idea of being able to allocate the credits to the invoices in the system, but but would like to be able to show the credit notes in the same list as invoices that I’m paying, but with negative balances. This is much easier for accounts payable and receivable clerks to process. In addition, if I do receive a credit note for the exact amount of a bill before the bill is paid, and I allocate it, both the bill and the CN show to be paid but there is no report to show my supplier. Then I get a late notice for the bill, AND show an outstanding credit with the supplier.
Wojciech Dobkiewicz commented
Re: Kelly Munro
That is precisely what I idea is, as you mentioned above, to have the ability to copy the information from paid invoice to a credit note.
Our suppliers or customers (I mean both sales and purchases invoices) are often paid within days of issuing an invoices). On a few occasions goods are returned, no credit notes are issued by suppliers, or customers dispute their invoices, so it will be easier to copy details from paid invoices to credit notes rather than entering all details from scratch. That will save us a much time.
I think the perfect example is mentioned below by Natasha Hamlet:
"Completely agree with this. We have an e-commerce website where the invoice is paid on completion of the order, if we want to produce a credit note because an item is faulty or needs to be changed, this has to be then done from scratch rather than just using the information from the invoice. Its just an extra step that could cause errors that isnt required."
Claire Barning commented
Yes, need this - we have often had instances of supplying a part, sending our customers an invoice which gets paid by their accounts department and then they return the part as it was no longer required, so instead of being able to select the original invoice and create a credit note, which will then be taken up against the next months payment.
If only we could allocate credit notes against payments (in and out) and not just invoices!!!!!!!
Zak Labanca commented
Agree that this is an absolute no brainer. I occasionally need to faff around doing this for clients (and it is a faff) and it makes zero sense.
Stop wasting time redesigning reports and making "solutions" for MTD for IT etc and doing something useful like sorting functionality in your core product like this.
David Quinton commented
It's not currently possible to copy an invoice to a credit note. When I've already generated an invoice with all the inputs the only way I can do this is to write the whole thing out again, which seems dumb (unproductive) to me. Hopefully this will be rectified soon.
Sarah Jacobs commented
agreed - you should be able to copy a bill to a credit note
Dennis Murphy commented
There are a couple of feature requests relating to making Credit Notes simpler. I've had to make a rather complex procedure relating to this with assistance from my bookkeeper and accountant. This should be made easier within Xero, as per other competing platforms.
Natasha Hamlet commented
Completely agree with this. We have an e-commerce website where the invoice is paid on completion of the order, if we want to produce a credit note because an item is faulty or needs to be changed, this has to be then done from scratch rather than just using the information from the invoice. Its just an extra step that could cause errors that isnt required.
Sam Gray commented
It is still absolutely ridiculous that in Xero you can't create a credit note from a bill or invoice that is paid.