General Ledger Journal Entries Generated from Debit Notes

Debit notes are assigned source code PO-DB on the G/L Transactions report.

When a debit note is posted for an invoice in Purchase Orders, a general ledger journal entry is created during posting or Day End Processing to debit the item's inventory control account and credit the item's payables clearing account.

When the debit note is posted in Accounts Payable, the payables clearing account is debited and the vendor's payables control account is credited.

Taxes.  Allocated taxes from debit notes are posted to the same general ledger accounts as their related costs. Recoverable and expensed taxes are posted to the accounts specified for the tax authorities in Tax Services and the inventory control or payables accounts used for the related costs.