Sales Credit Note (SCN)

Sales Credit Note (SCN) - User Guide

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⚡ Quick Start: 3-Minute Credit Note

1. Navigate: Go to Sales > Sales Credit Note.
2. Link Invoice: Search for the Invoice Number you wish to credit.
3. Check Credit Year: Pick the Credit Note Year.
4. Review: Click Create SCN

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🗺️ Credit Note Process

graph LR
    Invoice[Invoice Exists] --> Select[Link Invoice to SCN]
    Select --> Adjustment[Partial/Full Adjustment]
    Adjustment --> GST[Auto-Recalculate GST]
    GST --> Save[Save & Print SCN]
    Save --> Bal[Member Balance Updated]
    
    style Select fill:#f0f4ff,stroke:#3b82f6
    style Adjustment fill:#fffbeb,stroke:#fbbf24

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✅ Prerequisites Checklist

• Linked Invoice: You must have a valid YearInvoiceNo to create an SCN.
• Financial Year: The SCN date must be within the active financial year’s range.
• Reason for Credit: Common reasons like “Billing Error” or “Discount” should be documented in the Notes section.

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1. Introduction 📝

A Sales Credit Note (SCN) is issued to a member to reduce the amount they owe for a specific invoice. This is commonly used for billing errors, waivers, or service-related adjustments.

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2. Advanced Features ✨

🧮 Automatic GST Recalculation

When you adjust the base amount of a credit note, the system automatically:

• Deletes old tax lines (CGST/SGST/IGST).
• Re-calculates taxes based on the Tax Group of the original service.
• Ensures the total credit note amount is inclusive/exclusive of taxes as per the original invoice settings.

🔗 Invoice Linkage

Each SCN is hard-coded to a specific invoice. This allows you to:

• View the Source Invoice directly from the SCN detail screen.
• Prevent over-crediting (you cannot credit back MORE than the original invoice amount).
• Track Reference Date and Reference Number for tax reporting.

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3. Validations & Error Handling ⚠️

Validation Type	Logic	Action
Max Amount	SCN Line Amount > Invoiced Amount.	Error: “Credit Note Amount cannot be more than Invoiced Amount”.
Date Range	SCN date falls outside the Financial Year.	Warning: “Date must be between [Start] AND [End]”.
Recalculation Required	If a line is modified.	System automatically runs the SCNComputeAmount logic.
Deletion Audit	To delete an SCN.	A mandatory Delete Reason must be provided for logs.

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4. Reports Related to SCN 📊

1. 📄 SCN PDF: A formal document that can be shared with the member as proof of credit.
2. 📋 Sales Credit Note Register: A list of all credit adjustments made over a specific period.
3. 📉 Member Statement: SCNs appear as “Credit” entries, reducing the total “Balance Due”.

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5. Tips for Accuracy 💡