Feature Requests
Share ideas, discuss and vote on requests from other users in community

Credit Note in compliance with UK VAT legislation

Edith Karnitsch shared this idea 5 years ago

The refund functionality in WHMCS 5.3.13 is not on accordance with UK legislation.

When a refund is issued, the system must generate a Credit Note with the following details:

  • be headed ‘credit note’ or ‘debit note’ as appropriate and show clearly all the following details:
  • the identifying number and date of issue
  • the name, address and registration number of the supplier
  • the name and address of the customer
  • the reason for its issue - for example, ‘returned goods’
  • a description which identifies the goods or services for which credit is being claimed or allowed
  • the quantity and amount for each description
  • the total amount credited, excluding VAT
  • the rate and amount of VAT credited
  • the number and date of the original VAT invoice - if you cannot do this (for example, because returned goods cannot be identified with a particular invoice), you must be able to satisfy us by other means that you accounted for VAT on the original supply

Reference: https://www.gov.uk/government/publications/vat-notice-700-the-vat-guide/vat-notice-700-the-vat-guide#credits-and-debts

The current system of issuing a revised invoice contravenes UK VAT legislation and makes WHMCS unusable for UK VAT purposes when it comes to refunds.

The main issue I can see is that currently the date of the refund is not recorded as separate entry, neither is the reason for the refund nor is a unique number applied. The renaming of the document to "Credit Note" should be straight forward.

Comments (35)


i really need credit note or negative bills like it was before. In France too we cannot just mess with existing invoices and change them. Invoice cannot be change when done. If you refund one you have to issue credit note. We used negative invoices but now it is Forbidden...


I think it's save to say that WHMCS isn't really bothered by this... since they haven't added it in the 3 years we are requesting it.


And them being a UK company as well!