There is no need for one unless the customer wants to see a negative dollar invoice
Explanation: Any necessary changes that need to be made to a customer’s invoice can be made and then the invoice re-processed and reprinted for the customer. If the customer or the business needs to have a negative dollar invoice, then create a negative dollar invoice by opening the original order and clicking invoice new. Enter negative quantities and positive sales and cost amounts. Creating the credit memo off the original invoice keeps the billed applied costs with the order/invoices.
A negative invoice will be necessary if the customer is requesting a paper copy showing a negative amount or if the original invoice was in a prior month and you don’t want to change your financials for that month. Any other situations should be handled by editing the original invoice, processing, and printing a new invoice for the customer. Review “How do I change an invoice?”.
When a credit memo is created to reverse the original invoice and a new invoice needs to be created to replace the original for different amounts, then start the new invoice from the original order. This keeps all information, including the vendors invoice, together.
NOTE:
System Preferences has a setting to “Exclude receivables with negative balances in past due number of days calculation?”
A negative invoice will be necessary if the customer is requesting a paper copy showing a negative amount or if the original invoice was in a prior month and you don’t want to change your financials for that month. Any other situations should be handled by editing the original invoice, processing, and printing a new invoice for the customer. Review “How do I change an invoice?”.
When a credit memo is created to reverse the original invoice and a new invoice needs to be created to replace the original for different amounts, then start the new invoice from the original order. This keeps all information, including the vendors invoice, together.
NOTE:
System Preferences has a setting to “Exclude receivables with negative balances in past due number of days calculation?”
This checkbox will be active when the past due number of days field is greater than -1.
If this box is checked, Quote/Order Entry won’t include negative invoices when determining if a customer is past due. Negative invoices include open receivables with a type of Invoice or Receivable.
Order deposits, payments posted “on account” and finance charges are never included when determining past due status.
Order deposits, payments posted “on account” and finance charges are never included when determining past due status.