A debit note, also known as a debit memo, is issued from a buyer to their seller to request a return of funds due to incorrect or damaged goods, purchase cancellation, or other specified circumstances. A debit note is similar to a credit note, except it's issued from the buyer's side.

Can we issue debit note?

There is no specified format to issue a debit note, but it can be issued as a letter or a formal document. It is mostly a document specifying future liability and having commercial implications. They increase the credit period of a transaction, but are affected after shipping of goods takes place.

Who send the debit note?

A debit note, or a debit memo, is a document issued by a seller to a buyer to notify them of current debt obligations. You'll commonly come across these notes in business-to-business transactions — for example, one business may supply another with goods or services before an official invoice is sent.