Invoicing and receipts

Writing off an invoice

What is an invoice write off?

An invoice write off is a way to deal with bad debts and invoices that become uncollectible. When you write off an invoice, a credit note will be applied to reverse the invoice and the VAT.

How do I write off an invoice in Wafeq?

To write off an invoice*:

  1. Create a credit note
  2. In the credit note line description, enter "Write off".
  3. In the credit note line account, specify the account of the write off, for exammple Bad debt.
  4. In the credi tnote line, choose the same tax rate as the original invoice in order to reverse your tax liability.
  5. Save the credit note
  6. Go to the invoice you want to write off, then click Apply credit note
  7. Apply the full amount of the credit note you created to the invoice.