To comply with GSTR-1 guidelines on display of credit notes, QuickBooks now permits linking of credit notes with the source invoice. Here’s how you can do this in QuickBooks.
- Select + New..
- Under Customers, choose Credit Note.
- To link this credit note to the source invoice, click the drop down in the Invoice Number field and select the required invoice.
Alternatively, go to:
- Sales tab and select Invoices.
- Choose the source invoice for which the credit note needs to be generated.
- In the Actions column drop down, choose Create credit note.
Things to keep in mind:
- The invoice has to be dated within 90 days prior to the date on the credit note.
- After selecting an invoice, if the date on the credit note is changed, the selection will be cleared. For instance, if you select May 1, 2019 as the credit note date, QuickBooks will do a lookback of 90 days and show you a list of invoices within this range to select from.