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Glossary

Credit note

Definition

A document issued against an existing invoice that reverses part or all of its value and tax, used when goods are returned or an invoice was overstated.

Returns are handled with a credit note, never by deleting or editing the original invoice. The original has already been reported, and removing it creates a gap in the numbering series that scrutiny will find.

For a partial return, the credit note covers only the returned units — their value, their tax and a proportionate share of any discount.

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