Purchase: Difference between Goods Return and Purchase Return

Question : What is the difference between Goods Return and Purchase Return?

Version : 1.8 / 1.9 / 2.0

Answer :

Good Return :

Goods Return is used when goods received from supplier (Goods Received Note is created) is fully or partially returned before Purchase Invoice is received.

You must transfer from existing Goods Received Note (that are still outstanding) and here there is no + button for you to add item manually.

This entry will keep the outstanding Goods Received Note updated (so that accurate invoice can later be issued), and it will update the stock level as well.

This document will not post to G/L account.

Flow :

Goods Receive Note > Goods Return

Purchase Return :

Purchase Return is used when there was a goods return (involved physical stock movement) or change in item price, otherwise (if it involves only a change in total amount) use A/P Credit Note instead.

This document can transfer from Purchase Invoice and can add item manually.

This document will post to G/L account if the ‘Post to G/L’ option is enabled, and it will post to A/P Credit Note.