---
title: "Cancellation and Cancellations"
description: "How to handle billing errors through credit notes and cancellations."
keywords: ["invoice cancellation", "credit notes", "cancellations"]
lastUpdated: "2026-06-18"
---

# Cancellation and Cancellations

Sometimes it's necessary to **correct already issued invoices** due to errors in data, amounts, or sale conditions.

Instead of deleting receipts (something not fiscally permitted), Sarah uses:

- **Credit notes** to partially or totally reverse an invoice.
- **Debit notes** to reverse a credit note issued in error.
- Controlled cancellation flows that maintain traceability.

## Fiscal rules Sarah validates

- **Same party**: when canceling, the reversal receipt must be issued to the same person (same CUIT) as the original. Sarah queries AFIP and compares with the registered customer before issuing.
- **Invoice A**: only for **Registered VAT (RI)** customers with a valid CUIT.
- **Invoice B**: not allowed when the customer is RI (Invoice A must be used).

## When to use a credit note

Typical cases:

- An incorrect amount was invoiced.
- Products were returned after the sale.
- The invoice was issued with the wrong customer.

## Generate a credit note

1. Enter the **Billing** module.
2. Search for the invoice to correct.
3. Choose **"Cancel"** (issues the linked credit note in AFIP).

The credit note will be linked to the original invoice and will adjust:

- Customer balance.
- Billing reports.