ℹ️ Not subjected to VAT? If you're a franchisee or exempt under Article 44, read our dedicated guide instead: How to create a credit note for a previous purchase as a franchisee or exempt business?
💡 What is a credit note?
A credit note cancels a previously invoiced amount, in full or in part. It is the opposite of a purchase invoice, and you use it when you want to reverse the effect of a purchase invoice you already recorded, for example because you returned something, received a discount afterwards, or need to correct a mistake. As a subject to VAT business, this also affects the VAT you previously reclaimed, so it is important to record it correctly in Accountable.
Please note that this article provides general guidance only. Tax rules may vary depending on your individual situation. When in doubt, ask your Tax Coach.
This article covers two scenarios: when your supplier has sent you a credit note, and when you need to create one yourself. It also answers the most common questions about credit notes and VAT quarters.
✅ You received a credit note from your supplier
If your supplier has issued you a credit note, import it directly as a credit note in Accountable.
Go to the Expenses screen.
Click Upload new expense and upload the credit note you received from your supplier.
Indicate whether it is an official invoice or not. This must match exactly what was selected on the original invoice.
Enter a minus sign (−) in front of each amount, as a credit note is a negative expense.
Use the same categories as on the original invoice and split the items in exactly the same way, per VAT rate.
Use the date that fits your situation: if the credit note falls in the same year as the original invoice, use the date of the credit note itself. If the original invoice falls in the previous year, use the date of the original invoice instead, so the correction lands in the correct tax year.
Assign the credit note to the current VAT quarter, so the correction is included in your current VAT return.
❌ You did not receive a credit note from your supplier
If you did not receive a credit note but still need to make a correction, create one yourself in Accountable based on the original invoice.
Go to the Expenses screen.
Click Add a credit note on a purchase.
Upload the original invoice you want to credit.
Indicate whether it is an official invoice or not. This must match exactly what was selected on the original invoice.
Enter the original invoice date, not today's date, so the correction lands in the correct tax year.
Use the same categories as on the original invoice and split the items in exactly the same way, per VAT rate. Use the original invoice as your reference.
Assign the credit note to the current VAT quarter, so the correction is included in your current VAT return.
The credit note must mirror the original invoice item by item, using the same VAT rates, categories, and amounts, but with all amounts entered as negative values.
For example, a credit note for +€100 + 21% VAT should be entered as −€100 and −€21 VAT. What remains in your bookkeeping is the original invoice, the credit note, and the new invoice, where the credit note cancels out the old invoice.
❓ Frequently asked questions
When is it safe to simply delete a purchase invoice?
Sometimes you receive an invoice you should not have received (for example via Peppol, when it was actually a private purchase), or you simply want to remove an expense. The key question is: has this invoice already been submitted in a closed VAT period? If not, you can safely delete it.
If it falls in a closed VAT quarter, do not delete it. Create a credit note instead, so the VAT correction is properly reflected in your next return.
What is an open or closed VAT quarter?
An open VAT quarter is a period for which you have not yet submitted your VAT return. Expenses in an open quarter can still be edited or deleted directly.
A closed VAT quarter is a period for which the VAT return has already been submitted. Since the VAT has already been officially reported, deleting the expense will not reverse it. In that case, you need a credit note instead, so the correction is included in your next VAT return.
I made a small mistake on my first invoice. Do I need to credit it in full?
Yes. Even for a small mistake, credit the invoice in full, then add the correct version as a new expense. This is the simplest way to keep your bookkeeping accurate, even when the mistake was minor.
Key takeaways
A credit note cancels a purchase invoice in full or in part and must be recorded with negative amounts.
Use the same categories and VAT rates as on the original invoice.
For the date, use the credit note date if it falls in the same tax year as the original invoice, or the original invoice date if it falls in the previous year.
Always assign the credit note to the current VAT quarter so the correction appears in your next return.
If a purchase invoice has already been submitted in a closed VAT quarter, create a credit note rather than deleting the expense.
Need help? Chat with us or email support@accountable.eu, we're happy to help.