Debit Note

A document that increases the amount payable on an earlier transaction — for undercharges or extra supply.

A debit note is raised when the value of an earlier invoice needs to increase, such as when the seller undercharged, supplied additional goods, or the buyer returns goods to a supplier (purchase return).

Under GST it adjusts tax liability upward and references the original invoice. It is the counterpart of a credit note.

• Increases the amount payable.
• Used for undercharges, extra supply and purchase returns.
• Adjusts GST liability; references the original invoice.