Debit note and credit note: Learn the difference between debit note and

Learn the difference between debit note and credit note, when and how to use them in accounting, and see sample formats and journal entries. Debit note is sent by buyer to seller when returning goods, while credit note is sent by seller to buyer when receiving returned goods. Businesses use debit notes and credit notes as official documents for accounting sale return and purchase return transactions. These notes inform the buyer how much credit they have or how much further they owe to the vendor. Are you aware of Debit note and Credit note? Want to know what it is? Take a quick ride through the article and check out the key differences between them. Learn the difference between debit note and credit note, when and how to issue them, and their impact on GST return and tax liability. A debit note increases the tax amount and a credit note decreases it in case of changes in the original invoice.