How to return inventory to supplier (delivery notes not enabled)

1

Most of our inventory purchases are done from foreign suppliers and are invoiced weeks before we receive the goods. We have enabled Goods receipts to help us keep track of which items are on hand and which are in transit.

Most of our inventory sales are over-the-counter and are paid for and collected at the time of invoicing, so we have not enabled Delivery notes.

Mostly this works well for us. However, we have a couple of local suppliers that give us inventory on consignment. When they deliver the stock we record a Goods receipt, and when we sell it we invoice the customer and notify the supplier so they can invoice us. But occasionally the supplier takes back some of the goods that were on our shop floor, with no purchases or sales being made. How do we record the return of goods to the supplier so they no longer show as being on hand? With a journal entry?

2

The opposite of a Goods Receipt is a Delivery Note.

3

Thanks. I am aware of that, but don’t want to enable delivery notes or disable goods receipts. Doing the former would add an unnecessary step to the vast majority of our sales, and doing the latter would reduce our ability to track inventory that we have purchased.

The scenario I described above is very rare, but I still need to find a way to handle it. Another option is simply to edit the original goods receipt to remove the items that have been returned to the supplier.

4

Just issue a negative Goods receipt as reversal.

1 Like
5

Thanks, that seems to work fine. I’m not sure why I didn’t think of it.