How to: Correct or Cancel Unpaid Sales Invoices

You can correct or cancel a posted sales invoice. This is useful if you make a mistake or if the customer requests a change.

Note

After a posted sales invoice has been partially or fully paid, you cannot correct or cancel it from the posted sales invoice itself. Instead, you must manually create a sales credit memo to void the sale and reimburse the customer, optionally managed with a sales return order. For more information, see How to: Process Sales Returns or Cancellations.

In the Posted Sales Invoice window, you can choose the Correct action or the Cancel action to perform the actions that are described in the following table.

Action Description
Correct The posted sales invoice is canceled. A new sales invoice with the same information is created. You can make the correction and then continue the sales process. The new sales invoice has a different number than the initial sales invoice. A corrective sales credit memo is automatically created and posted to void the initial posted sales invoice. On the initial posted sales invoice, the Canceled and Paid check boxes are selected.
Cancel The posted sales invoice is canceled. A corrective sales credit memo is automatically created and posted to void the initial posted sales invoice. On the initial posted sales invoice, the Canceled and Paid check boxes are selected.

When you correct or cancel a posted sales invoice, the corrective sales credit memo is applied to all general ledger and inventory ledger entries that were created when the initial sales invoice was posted. This reverses the posted sales invoice in your financial records and leaves the corrective posted sales credit memo for your audit trail.

To correct a posted sales invoice

  1. Choose the Search for Page or Report icon, enter Posted Sales Invoices, and then choose the related link.
  2. Select the posted sales invoice that you want to correct.

    Note

    If the Canceled check box is selected, then you cannot correct the posted sales invoice because it has already been corrected or canceled.

  3. In the Posted Sales Invoice window, choose the Correct action.
  4. A new sales invoice with the same information is created where you can make the correction. The Canceled field on the initial posted sales invoice is changed to Yes.

    A sales credit memo is automatically created and posted to void the initial posted sales invoice.

  5. Choose the Show Corrective Credit Memo action to view the posted sales credit memo that voids the initial posted sales invoice.

To cancel a posted sales invoice

  1. Choose the Search for Page or Report icon, enter Posted Sales Invoices, and then choose the related link.
  2. Select the posted sales invoice that you want to cancel.

    Note

    If the Canceled check box is selected, then you cannot cancel the posted sales invoice because it has already been canceled or corrected.

  3. In the Posted Sales Invoice window, choose the Cancel action.

    A sales credit memo is automatically created and posted to void the initial posted sales invoice. The Canceled field on the initial posted sales invoice is changed to Yes.

  4. Choose Show Corrective Credit Memo to view the posted sales credit memo that voids the initial posted sales invoice.

See Also

Sales
Setting Up Sales
How to: Send Documents by Email
Working with Financials