Goods come back. When they do, three things have to change together — the stock, the customer’s balance and the tax — and they have to agree.
A return handled informally — cash back from the drawer, goods put on the shelf — leaves no trace anywhere. Stock is now wrong, the customer’s ledger still shows the full bill, and the tax on the original sale was never reversed.
Recorded against the original bill, the return does all three at once: the goods come back into stock, the balance falls by what was returned, and the tax follows. What was returned and against which bill stays answerable months later.
The return is made against the sale it came from.
All of it or part of it, at the quantities coming back.
Stock, balance and tax move together.
Refund, or set it against what they owe.
The paperwork either side of the bill: quotations and orders before it, returns and notes after it, on both the selling and the buying side. Each document carries over to the next, so an accepted quote becomes an order or an invoice without being typed again.
Trades that quote before they deliver live in this area — the quote goes out, the order confirms it, the challan moves the goods, and the invoice closes it.
The other ways a sale gets corrected after the fact.
Yes — the lines and quantities coming back are chosen from the original sale.
Yes, and the customer’s balance and the tax move with it.
Product exchange handles a swap on a bill that has already gone out, rather than a plain return.
Stock, balance and tax move together, against the bill it came from.
