Voiding a credit memo

There may be times when you need to void a credit memo due to various reasons, such as incorrect information, changes in the transaction, or cases where the customer has not returned the item for which the credit memo was initially issued.

Voiding a credit memo essentially involves reducing the credit memo's value to zero. This is achieved by removing item lines from the credit memo and eliminating any associated refunds. If the credit memo has been applied to an invoice, it's essential to un-apply the credit before voiding it.

Deleting the refund

If the credit memo has been refunded and you wish to void it, start by deleting the refund created on the memo.

To delete the refund, go to Credit Memo > Options > Show Refund(s) from Credit

This action will take you to the Customer Refund Centre, where the refund associated with the credit memo is displayed. Right-click on the refund and select the "Delete" option.

The refund will be deleted, and the status of the credit memo will be updated to "Open." You can then proceed with removing the item lines from the credit memo.

Un-applying the credit

If the credit memo you wish to void has already been applied to an invoice, begin by un-applying the credit. This action will change the status of both the invoice and the credit memo back to "Open."

To un-apply the credit memo, go to Credit Memo > Options > Show Applied on Invoice(s)

You will be redirected to the Customer Credit Centre with the details of the credit applied to the invoice. Right-click on the credit and select the "UnApply Credits" option to unapply the credit.

Removing the item line(s)

To void the credit memo, it is necessary to remove the item line(s) from the credit memo and deplete the inventory from the stock. This action reduces the memo's amount to zero and allows you to proceed with voiding it.

To remove the non-inventory item, right-click on the item line and click on "Delete" to remove it.

For inventory items, click on the item's quantity, which will open the "Add/Change Credit Memo Qty" screen. From there, select the location and choose the quantity to "Uncredit".

Once all item lines have been successfully removed, navigate to the "Options" menu and select "Void" to complete the process of voiding the credit memo.

Voiding the Credit Memo when the Item is in the Damaged Location

When you have created a credit memo for damaged items, the item is received in the "Damaged" location within your inventory system.

Voiding such a credit memo involves a slightly more intricate process since the stock isn't readily available for uncrediting.

To void the Credit Memo when the Item is in the Damaged Location, the item will have to be made “Available”. Once the item has been transferred to an available location, we can then uncredit the quantity from the credit memo and then proceed to void the credit memo.

To make the item available, open the item in the "Inventory by Location" module. You will find that the item is in the Damaged location and "Not Available".

Right-click on the item and select “Change Not Available Qty” option.

Enter the “New to Not Available Qty“, by adding the qty on the Credit Memo to the Available Qty. Hit “Change Quantity”.

After making the item available, open the Credit Memo and Uncredit the Item. Then, proceed to void the credit memo.

Voiding a "Warehouse" type Credit Memo

When voiding a "Warehouse" type credit memo, you will first have to check if the ASN has been generated or not.

If the ASN is not yet generated, you can go to Options > Void to delete the credit memo.

If the ASN is generated, you have to void the ASN first, and then you can go ahead and void the credit memo.

To void the ASN, click on the ASN number displayed on the top-right corner of the screen.

You will be navigated to the ASN screen. Click on the Bin icon located on the top-right to delete the ASN.

After deleting the ASN, go to Options > Void to delete the credit memo.