Clarification: Debit Notes Are for Purchases Only, Not Customers (Resolving Debit vs Credit Note Confusion)

Use this guide when a customer asks about a debit note for a customer or linking it to a sales invoice or the accounting/tax impact of a debit note for a customer.

The Basic Rule

• The Debit Note (Debit Note) in Qoyod is dedicated exclusively to purchase invoices (i.e., issued to the supplier, not the customer).
• You cannot issue a debit note to a customer or on a sales invoice within the system.
• The corresponding document on the sales side is the Credit Note (Credit Note), which is issued to the customer to reduce the value of a sales invoice or to return a payment.

How to Respond to the Customer

1. Gently clarify the confusion: explain that the debit note in Qoyod is not used with customers, and that it is dedicated to purchase invoices (suppliers).
2. Ask the customer about their actual goal to direct them to the correct document:
   • If they want to reduce the value of a sales invoice or return merchandise to a customer → the correct document is the Credit Note.
   • If they want to reduce the value of a purchase invoice or return merchandise to a supplier → the correct document is the Debit Note and it is issued to the supplier.
   • If they want to increase the amount owed by the customer → they can use an additional sales invoice or a manual entry depending on the situation.
3. Do not mention any automatic accounting entries or tax implications related to a “debit note for a customer” because this does not exist in the system.

Example Response

“In Qoyod, the debit note is dedicated to purchase invoices (issued to the supplier) and cannot be issued to a customer or on a sales invoice. If the goal is to reduce the value of a sales invoice or return an amount to a customer, the correct document is the Credit Note. Would you like me to explain the steps to issue it?”

Do Not

• Do not invent accounts that are affected by a “debit note for a customer”.
• Do not direct the customer to the general ledger report for an entry resulting from a debit note to a customer because it does not exist.
• Do not mention a tax impact for a debit note on a sales invoice.