Select View - Sales/Invoicing and Order registration.
Select Unissued credit note from the status drop-down list.
Click New.
Select the customer from the list and click OK.
In the screen that appears, you will have the option to link against an invoice, either by selecting it from the list or by entering the invoice number directly into the field for this. If this is an independent credit note, you do not link the credit note to any invoice.
Click OK.
Select the Product lines tab.
Click Show product
list.
Select the product you want to credit and click Insert.
In the Number field you enter how many will be credited. Make sure that the number is entered with a negative sign, i.e. a minus sign.
Click the Invoice
button.
Select Credit note and Send to printer.
Click OK.
Check the printout and close the preview by clicking Close Preview.
The Update of warehouse screen will appear. If all products are to be updated in the warehouse, click Close.
Answer Yes to invoice the order; the credit note will be posted.
Answer Yes to approve the printout, if correct.
The credit note has no reference to a previously
raised invoice and can be matched/linked to open items later.