Invoice questions › The difference between a quote, an invoice and a credit note
The difference between a quote, an invoice and a credit note
A quote prices the work in advance, an invoice asks to be paid, and a credit note takes an invoice back.
Quote. This shows in advance what something will cost. It is not yet a request for payment. If the customer says yes, you get to work.
Invoice. Once the work is done or the goods are delivered, you send the invoice. That is the formal request for payment, with the VAT on it.
Credit note. If something is not right, or part of it comes back, you make a credit note. It refers to the old invoice and takes (part of) the amount off again.
In the editor you pick the kind per document. A quote carries none of the VAT obligations an invoice does, so different rules apply to it.
In the editor you pick per document whether it is a quote, an invoice or a credit note. No account needed to look around.
Create an invoiceRelated
- What is a credit note?
- Correcting a mistake on an invoice you already sent
- What is a pro forma invoice?
This page is a summary, not legal advice. Invoicing is set at EU level but the details are national, so check with the European Commission or your own tax authority if your situation is unusual.