Users can create credits and negative invoices through the Invoices page. Credits and negative invoices differ in the ways they affect the order.
Credits show that a customer has been credited a certain amount, but DO NOT put the money "back" onto the order. Credits appear on the order and show that the customer has been credited, but do not cancel out the invoiced amount, so the order will show that the customer has been invoiced.
In the example below, the entire amount has been invoiced and refunded through a credit. Both are reflected in the customer and vendor invoice tabs.
For more information on creating credits, click here.
Negative invoices put money back onto the order. The open amount on the order will increase by the amount in the negative invoice, as if the original invoice never happened. This works best in circumstances where incorrect items were shipped, and the original items need to be monitored and re-invoiced at a later date.
In the example below, no values are reflected in the customer invoice and customer credit fields, even though there is an invoice and a negative invoice shown for the customer.
For more information on creating negative invoices, click here.