Understand cancel versus credit note

Step by step

Do it step by step

1. 1
   Step 1:

   Cancel: the same day only, before any credit note and before the month is filed — the bill is voided and the stock comes back.
2. 2
   Step 2:

   Cancelling needs an owner or store manager — at the counter, their PIN — and the reason is kept in the audit log.
3. 3
   Step 3:

   Credit note: any later correction — goods returned or a price cut — with GST reversed in proportion.
4. 4
   Step 4:

   Once a month's GSTR-1 or GSTR-3B is marked filed, its bills can be corrected only by credit notes.
5. 5
   Step 5:

   Every credit note is under Sales → Credit notes; Print gives the A4 copy.