A Purchase Credit Memo is a document issued by the seller of goods or services to the buyer, reducing the amount the buyer owes to the seller under the terms of an earlier invoice.

There are two methods in Business Central to apply credits: Copying Document Lines or Manually Creating the Lines. 

Navigate to the vendor you would like to apply the memo to. Click 

Next, click on the vendor you would like to create the memo for. 

On the vendor card, select New Document and then click on Purchase Credit Memo. 

Next, create the credit memo by entering the values required. 

Navigate back to the vendor card and select 

Locate the Credit Memo and click on the three dots beside it. Select 

Find the invoice you would like to apply the credit to. 

Set the ID by selecting the invoice and clicking 

Pay the Invoice as you would normally either from the Pay Invoices page. 

Step 1: Navigate to Purchase Credit Memos

Navigate to the Purchase Credit Memos page from the Purchasing Module.

button to create a new Purchase Credit Memo. 

Step 2: Copy Credit Memo Lines from an Existing Invoice

To apply lines from an existing posted invoice, 

 to apply the Credit Memo. Once selected, select 

The Invoice details and line items will now copy into the Credit Memo page. 

Modify the memo by deleting the lines or changing the quantity. Once confirmed with the actual credit memo from the vendor, enter the number on the 

 is correct and the Credit Memo will be applied to the right Invoice. The Invoice must be marked as 

 to apply the Credit Memo and pay the Invoice with a reduced amount due.  

This field will automatically be filled with the Invoice number of the document used to copy the line items from. If this is incorrect or the invoice is closed, you must change this value to the 

 Invoice you would like to reduce the balance of before posting the Credit Memo. 

After confirming all details, post the document by selecting 

On the Posted Purchase Invoice page, locate the Invoice on which you applied the Credit Memo. On this page, you can confirm that the amount has been successfully reduced before attempting to pay the Invoice. 

Step 2: Manually Create the Document Lines

Next, manually enter the Vendor Name, Line Items and Vendor Credit No. to the Credit Memo. 

 to ensure the Credit Memo will be applied to the correct Invoice. The Invoice must be marked as 

If this is incorrect or the invoice is closed, you must change this value to the 

Pay the invoice as you would normally either from the Pay Invoices page. 

cannot be applied at the Payment Journal level

. They need to be applied to a document before attempting a payment through the plugin. Failure to apply will cause the plugin to ignore any credits and remit the full invoice amount.

Credit Memos must be less than the remaining amount due on the Invoice to successfully be applied. 

We apologize, but without any summary or content available for the document, we are unable to provide a short SEO description.

Applying Credit Memos (BC365)

Applying Discounts (BC365)

Batching Ledger Entries (BC365)

Creating Purchase Invoices (BC365)

Voiding & Repaying Bills (BC365)

Writing Check Numbers to General Ledger (BC365)

Paying Invoices (BC365)

YourBank

MyBank

Welcome

Untitled

Pre-Onboarding Checklist (NetSuite)

Installation and Set-up

Post-Onboarding Checklist (NetSuite)

Vendor Bank Details

Temp

Vendor Payables

Information Reporting