I received payment for an order, but haven’t yet shipped the consignments. Now my customer wants to cancel a few items from it. How can I do that?

When an order has only been paid for but not shipped, then you only need to provide credits or refund for the canceled shipment.

Step 1: Create a credit note for the invoice

• Navigate to the Invoices module.
• Open the specific invoice. Note: The invoice must be in ‘Paid’ state.
• Click on the More button.
• Select the Create Credit Note option.
• Retain the items you want to cancel and remove the others from the list by clicking on the (x) button at the end of each row. The items will be indicated as ‘Canceled Item’. You will not be able to process these items further in the sales order.
• Click on Save as Open to create a credit note for that invoice.

Step 2: Record a refund or apply credits to future invoices

Once you create a credit note, you can either record a refund, or apply the credits to your customer’s future purchases.

To record a refund:

• Navigate to the Returns module.
• Select Credit Notes.
• Open the relevant credit note.
• Click on More > Refund.
• Enter the refund amount and select the expense account.
• Click Save to record the refund.

To apply credits to invoices:

• Open the relevant credit note.
• Click on the Apply to Invoice button.
• Distribute the credit balance against each invoice.
• Click Save to apply the credits. The applied credit will be deducted from the total invoice amount.

You can pack and ship the remaining items from your sales order.