Difference between invoice and debit note

[former_member208541]

Hi,

what is the difference between invoice and a debit note.

If I underinvoice a customer, should I raise a additional invoice for the difference or shud i raise a debit note. if i need to raise debit note, then why not invoice or if i need to raise an invoice, then why not a debit note

regards

sachin

[Former Member · Accepted solution]

Dear Sachin,

Debit Notes are Transactions signifying a payment that your Customer Owes you, just like Invoices. In fact structurally they are very much like Invoices. Though they have a different meaning. Invoices always depict Sales or Service rendered , while Debit Notes on the other hand are used for deducting money from your Customer's Account without a sale being made.

Debit Notes are always raised for doing adjustments in the Accounts and is not for invocing a sale to Customer. Invoices are always raised against the sale.

Hope it is clear.

Regards,

Karthik