Sent an invoice and now need to cancel it, or take something off it? Don't edit or delete the invoice: issue a credit note that points to it. Say which invoice, why, and what you're crediting, and (if you like) show the original total and the revised total. English, English + Arabic or English + Urdu labels. Print or save as PDF. No signup, and nothing leaves your browser.
Starting from an invoice you made here? On the free invoice generator, click Cancel or correct it: make a credit note to bring the client, lines and totals across.
Credit note done? Keep the invoice it changes in step.
The free Kitebill app doesn't make credit notes. If you track the original invoice there, open it, change its amount to the revised total, and add the credit note number to its notes, so the dashboard shows what is really owed and the overdue flag stays honest. Cancelled the whole invoice and nothing was paid? Mark that in its notes rather than deleting it, so your invoice numbers keep no gaps. Everything stays in your browser.
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A credit note (also called a credit memo) is a document you send a client to reduce or cancel an invoice you already issued. The invoice stays as it was; the credit note says by how much it goes down and why. Together they show the true amount. That keeps your invoice numbers in one unbroken sequence and gives both sides a paper trail, which is why accountants and tax offices prefer it to editing or deleting a sent invoice.
When to issue one
The job or order was cancelled after you invoiced it (credit every line).
Part of the work was dropped, or goods came back (credit just those lines).
You overcharged: wrong rate, wrong quantity, a line billed twice.
You agreed a discount after the invoice went out, for example for a late delivery.
You sent the same invoice twice by mistake (credit the duplicate in full).
Undercharged instead? A credit note can't add money. Send a new invoice for the difference that refers to the first one.
What to put on it
The words "Credit note" and its own number, such as CN-0001. A separate series keeps credit notes from being mistaken for invoices (the invoice number generator works for any series: set the prefix to CN).
The original invoice number and date, so the client's accounts team can match it.
Your details and the client's, as on the invoice, including tax numbers if you have them.
What is credited and why: the lines, the amount before tax, the tax rate and tax amount, and a short reason.
The effect on the invoice: the original total, this credit and the revised total. Fill in "Invoice total" above to print those three lines.
How it is settled: taken off what is still owed, kept against the next invoice, or refunded.
VAT and GST credit notes
If you are registered for VAT or GST, the rules for what a credit note must show, and when you must issue it, come from your tax authority. Two examples, checked on 17 October 2026:
United Kingdom: the VAT Regulations 1995, regulation 15C, list the particulars (its own number and date, both parties, the number and date of the original VAT invoice, a description, the decrease excluding VAT, and the rate and amount of VAT credited) and say it must be provided within 14 days of the decrease. HMRC's VAT Traders’ Records Manual adds that it must correct a genuine mistake or an agreed reduction and must not be issued for a bad debt.
UAE: Article 60 of the VAT Executive Regulation requires the words "Tax Credit Note", both TRNs (the client's if registered), the original value, the correct value, the difference and the VAT on that difference in AED, and a brief reason. If you issue a second credit note against the same invoice, the "original" value is the one already adjusted by the first. Businesses brought into the UAE e-invoicing system must issue electronic credit notes through it (Decree-Law No. 8 of 2017, Art. 70(4)).
This page gives you the usual fields, a separate tax line and the before/after totals. It is not a government e-invoicing system, and it is not legal or tax advice: check what applies to you.
Credit note or refund?
A credit note records that the client owes less. A refund is money going back. If the client hasn't paid yet, the credit simply comes off what they owe. If they already paid, you either refund the credited amount or keep it as credit against their next invoice; pick the option under "How the credit is settled" so the client knows which. For a refund, a short note of the date and method in Notes helps both sides.
Yes. There is no signup and no limit on how often you use it. The printed credit note has a small "Created with Kitebill" line at the bottom.
Is my data uploaded anywhere?
No. The credit note is built by JavaScript in your browser and nothing is saved, not even a draft. When you open it from the invoice generator, the details travel in the address after the # sign, which browsers do not send to servers, and the page clears it straight away.
Can I just edit or delete the invoice instead?
Before you send it, yes. Once the client has it, it is usually better to leave it unchanged and issue a credit note, so both sides have the same records and your invoice numbers have no gaps. If you are VAT or GST registered, your tax authority may require a credit note.
Should the amounts be negative?
No need. The title says Credit note, and the lines show what is being credited as positive amounts. If you fill in the original invoice total, the credit is shown as a deduction and the revised total is worked out for you.
Is this a VAT or tax credit note?
It has the usual fields: numbers, dates, the original invoice, the tax rate and amount, a reason and the before/after totals. Whether that is enough depends on your country and registration, and some countries require credit notes through a government e-invoicing system. This tool is not one, and this is not tax advice.
Can the credit note be in Arabic or Urdu?
Yes. Choose English + Arabic or English + Urdu. Headings such as "Credit note no.", "Original invoice" and "Total credit" print in both languages; your own text prints as you type it.
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