Issue a credit memo to cancel or reduce an invoice you already sent - for a return, an overcharge or a discount. It references the original invoice and reverses the sales tax. Download a professional PDF, free and no account.
What a United States credit memo must include
- Your business details, as on the original invoice
- The words “Credit Memo”, a number and the date
- The original invoice number it relates to
- The lines being credited, with the sales tax reversed
- The total credit, and whether it is refunded or applied to a future invoice
Example (Sales tax at 8.25%)
A typical set of lines with Sales tax. Click the button to open it as a credit note referencing your original invoice, already set to United States — change the details and your Sales tax number.
| Description | Qty | Unit price | Amount |
|---|---|---|---|
| Consulting services - per hour | 10 | $150.00 | $1,500.00 |
| Software license - annual | 1 | $1,200.00 | $1,200.00 |
| Subtotal | $2,700.00 | ||
| Sales tax (8.25%) | $222.75 | ||
| Total (USD) | $2,922.75 |
Tax rules vary. The calculation here is an aid — confirm your obligations with your accountant or tax authority.