Debit notes & purchase returns

Send it back, claim it back, and see the supplier balance follow.

Return faulty or wrong goods to the supplier, correct an overcharged bill, or claim a rebate, each with a numbered debit note. Set it against open bills or record the refund the supplier pays, and every step stays on the record.

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Purchase returns against the order and its bill
Debit notes that correct a bill or claim money
Set against open bills, or refunded by the supplier
Never more debited than was billed

What is Debit notes & purchase returns in Flowyana?

Flowyana debit note software handles everything that flows back to a supplier: purchase returns for goods sent back, and debit notes for money the supplier owes you. It is for retailers, distributors, restaurants and manufacturers that buy on credit, in India, the UAE, Saudi Arabia and beyond.

Returns to suppliers are easy to start and hard to finish. The goods go back on a van, but the credit never makes it onto the next payment, or the bill is paid in full while a claim sits in an email. Flowyana ties the return to the order and the bill, issues the debit note from it, and puts the note on the supplier’s balance until it is set against a bill or refunded.

Not every claim involves goods. An overcharged rate, a missed discount, a quarterly rebate or promotional support from a brand all become debit notes too, either correcting a specific bill or as a free-standing claim.

What it does

Debit notes & purchase returns, in practice.

Purchase returns

Return received items to the supplier against the purchase order and its bill: every received line is listed, and you enter how many go back.

Billed and never-billed units

Units never billed simply reverse their goods receipt; only units already billed are claimed back from the supplier.

Debit note from the return

Issue a debit note straight from a purchase return, so the money the supplier owes is on record.

Correct a bill

For an overcharged rate, short supply, damaged goods or a missed discount, pick the bill and debit lines from it.

Claim from the supplier

For a volume rebate, promotional support or a goodwill adjustment, raise a debit note with your own lines and amounts.

Limits that hold

A line cannot be debited beyond what was billed less what earlier notes already took, and the price cannot exceed the billed price.

Draft, then issue

Save a draft, check it, then issue it. Issuing posts it to the books; an unused note can still be cancelled.

Set against open bills

Apply a debit note to one or several of the supplier’s unpaid bills, or to the bill it corrects as you issue it.

Refund received

Record money the supplier pays back against the note, with the method and date.

Reversible, with a reason

Undo an application or a refund with a reason, and the bill’s balance or the note’s balance comes back.

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How it works

Debit notes & purchase returns, step by step.

1
Return the goods
Create a purchase return against the purchase order and bill, and enter what goes back.
2
Issue the debit note
Issue a debit note from the return, or raise one directly to correct a bill or claim a rebate.
3
Check and issue
Review the draft, then issue it. It posts to the books and the supplier’s balance.
4
Use it
Set it against the supplier’s open bills, or record the refund when the supplier pays it back.
5
Keep the trail
Each note shows its applications and refunds, and each bill shows the notes raised and set against it.

In depth

A closer look.

Purchase returns (returns to supplier)

A purchase return lists every received line of the purchase order, and you enter how many go back, against the bill they were billed on. Units never billed reverse their goods receipt and claim nothing; units already billed are owed back by the supplier, and the return shows the split before you save. Returns can go through an approval workflow, and posting one reverses the stock.

Against the order and its bill
Never-billed units simply reverse
Billed units claimed back
Optional approval

Debit note software for two situations

When you start a debit note, Flowyana asks what happened. Correct a bill covers an overcharged rate, short supply, damaged goods or a missed discount: pick the bill and debit a quantity, a price or a whole line. Claim from the supplier covers a volume rebate, promotional support or a goodwill adjustment: add lines with a description and an amount. A bill-correction line carries the tax rate of the bill line it corrects.

Bill correction from the bill’s lines
Supplier claim with your own lines
Debit whole line or part
Tax follows the corrected bill line

Limits and status

A bill-correction line cannot debit more than was billed less what other notes already debited, and the price cannot exceed the billed price, so the supplier’s balance cannot be pushed below zero by mistake. A debit note is saved as a draft, then issued, which posts it. While unused it can be cancelled; once set against a bill, reverse the application first.

Capped at billed less already debited
Price capped at the billed price
Draft, issued, cancelled
Cancel while unused

Set against bills, or refunded

A debit note shows its total, how much was set against bills, refunds received and the balance left. Set it against one or several of the supplier’s unpaid bills, or against the bill it corrects at the moment you issue it. When the supplier pays back instead, record the refund received. Applications and refunds can be reversed with a reason, and the bill shows every note raised on it and set against it.

Total, applied, refunded and balance
Apply on issue
Refund received with method and date
Bill tab shows every note

Who it’s for

Businesses that run on Debit notes & purchase returns.

Supermarkets and grocers

Return damaged or short-dated stock and take it off the next payment to the supplier.

Distributors

Claim volume rebates and promotional support from brands as debit notes, then set them against open bills.

Restaurants

Send back a spoiled delivery and make sure the credit actually reaches the supplier’s statement.

Electronics retailers

Return faulty units under supplier warranty, with the stock and the claim both on record.

Manufacturers

Correct bills for rejected raw material or prices above the agreed rate.

Questions

Asked about debit notes & purchase returns.

What is a debit note in purchasing?

A debit note is a document a buyer raises to reduce what it owes a supplier, or to claim money back, for example after returning goods or being overcharged. It is the purchase-side counterpart of a customer credit note.

What is the difference between a purchase return and a debit note?

A purchase return sends goods back and takes them out of stock. A debit note records the money side: what the supplier owes you or what comes off their bill. In Flowyana you can issue a debit note straight from a return.

How do I return goods to a supplier in Flowyana?

Create a purchase return, pick the purchase order and the bill it is against, and enter how many of each received line go back. The stock is reversed when the return is posted.

Can I raise a debit note without returning goods?

Yes. Correct a bill for an overcharged rate, short supply or a missed discount, or raise a supplier claim for a rebate, promotional support or goodwill. No goods need to move.

What happens to units I return that were never billed?

They simply reverse their goods receipt. Nothing is claimed from the supplier for them, because you never paid or owed for them.

How do I use a debit note against a supplier bill?

Open the debit note and choose Set against bills, then pick the supplier’s unpaid bills and amounts. You can also set it against the bill it corrects at the moment you issue it.

What if the supplier refunds the money instead?

Record the refund received on the debit note, with the amount, method and date. The note’s balance goes down by that amount.

Can a debit note be cancelled?

Yes, while nothing has been set against it. If it came from a purchase return, cancelling the note does not reverse the return’s accounting entry; cancel the return itself to do that.

Can I debit more than the bill?

No. Each line is limited to what was billed less what earlier debit notes already took, and the debit price cannot be higher than the billed price.

Do debit notes work with GST and VAT?

Yes. A bill-correction line carries the tax rate of the bill line it corrects, so the input tax is reduced along with the bill, for GST in India and VAT in the UAE, Saudi Arabia and other countries.

What is the best purchase return software for retailers in the UAE or India?

Flowyana suits retailers and distributors that return goods often: returns against the order and bill, debit notes, and the supplier’s balance updated in one flow.

One platform

Plays well with the rest.

Purchasing shares its records with every other module you switch on — no connectors, no re-typing.

Purchasing Purchasing Purchasing Purchasing Inventory Accounting Approvals Sales & Invoicing All features →

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