Auto Credit Note When Payment Received by Different Client

Hi there,

I have a client that operates a few divisions under different names and we have multiple projects with them. We received a payment from one of the divisions that also included payment for an invoice from a separate division.

    Eg Company ABC made a payment that included payment for one of their own invoices and also payment for an invoice for Company EFG. 

The result in Sage 50 was that when I applied the payment, the invoice for Company EFG automatically changed to Company ABC. Now Company EFG has a credit note in the amount of the original invoice. When I look up the original invoice # it now shows that it was issued to Company ABC.

Company EFG's invoice (now appearing as Company ABC) correctly shows that it is paid when I open it. When I try to follow the procedures in the knowledge base I run into problems because I can not access the Credit Note transaction anywhere, it doesn't show up in the Receipts window. It only shows up when I do a statement or run an aged detail report. When I click on the credit note in the aged detail report it gives me a message saying that there is "no data to report".

Action I have taken:

I reversed the original payment received from Company ABC. However the Credit Note for Company EFG still exists.

Question:

How do I remove/reverse/delete the credit note without it impacting my annual or project revenue?

Thanks,

Bridget

  • 0
    System generated credit notes cannot be edited or removed unfortunately. At this point the simplest solution is probably to use a clearing account to offset the amounts against each other, if there is still a credit note showing in one company there should be an outstanding invoice still in the other company. If you have something like a cash to be deposited account, you can post receipts for both paying the outstanding invoice and refunding the credit to that clearing account (make sure you set the account type as cash or bank). The net effect on the clearing account is zero and your balances for both customers should be zero.
  • 0 in reply to phughes
    Hi there,

    Actually I was able to solve this problem yesterday with support from D. Andrews on the level 2 support team at Sage. Understanding the cause of the problem - ANY changes to a paid invoice will result in a system generated credit note was a great tip to prevent the problem from happening again.

    The solution for removing the credit note after I had reversed the payment was very simple. Create a receipt for the credit note with the annotation REV-CN-####.

    It was this simple because the system generated CN wasn't reflective of anything real in my situation. Once I applied the payment back to the original invoices the bank was in balance again.

    Have a great day,
    Bridget