Apply a credit note to open documents

After you have created a credit note (as described in Create a credit note), the note should be released; see Release an invoice for details.
You then close the credit note in one of the following ways:

• Apply the credit note to open invoices, debit notes, and overdue charges.
  If you apply the credit note to any of these documents, it receives the Closed status.
  
• If a customer has already paid an overcharging invoice, create a customer refund, which you apply to the credit note to return the money to the customer.
  For step-by-step instructions, see Issue a refund.
• If the credit note was created to credit a customer that was overcharged based on documents that have been paid and documents that have not been paid, you can apply part of the credit note against unpaid invoices and the rest of the credit note balance against a customer refund.

1. Go to the Customer payments (AR302000) window.
2. In the Type field in the top part, select Credit note.
3. Select the appropriate reference number for the credit note in the Ref. no. field.
4. Check the date of the credit note in the Date field; by default, the current date is selected, but you can select another date.

   The Financial period field is filled in automatically based on the selected credit note date.

5. In the columns of the Documents to apply tab, enter the documents to which the credit note should be applied, following the steps below to add each line (document):
   1. Click in the table toolbar to append a row to the table.
   2. In the Document type column, select the appropriate option to apply the credit note to an invoice, debit note, or overdue charge.
   3. In the Reference no. column, select a document by its ID from the list of documents.
      (The system includes in this list documents associated with the current customer that have the Open status and the selected document type.)
   4. Check the information in the other columns of this table, which are filled out automatically when you select a document.
6. Check the Applied to documents field; the system automatically inserts the total amount of the applied documents.
7. To release the credit note, make sure the Hold check box is cleared, and click Release button in the window toolbar.