Procedure: Credit note
These procedures outline the internal control framework around the raising and approval of credit notes.
- These procedures outline the internal control framework around the raising and approval of credit notes.
- Credit Notes can only be raised by the Accounts Receivable section of Finance and Business Services.
- Business Units are required to complete a Request for Credit Note Form, attach supporting documentation to support the request, and forward the complete set to the Accounts Receivable Section, Finance & Business Services Division, Chancelry Building 10C.
- Credit Notes can only be used to correct invoicing errors. They are not to be used to forego a legal debt owing to the University or to alter invoices due to a claim made by the debtor against the University for a breach of the terms and conditions of the contract.
- Request for write off of a debt must be made in accordance with the Financial Procedures governing Debt Write Off.
- Where a claim has been made against the University for non-performance against a contract or a breach of a contract, this matter must be referred to the Chief Financial Officer and the Legal Office in the first instance. The Legal Office will advise the Chief Financial Officer how the legal claim will be managed by the University.
Approval of Credit Notes
- A Request for Credit Note Form must be authorised by the Finance Manager of a College or an Associate Director (or equivalent) of a Service Division or Support function.
- Documentary evidence is required to be attached to the request received by F&BS.
- The Credit Note request will be reviewed and approved by the Manager Financial Operations, F&BS before it is raised in ES Financials.
- Statistics on then number of credit notes raised by Business Units will be included in the Business Unit health check reports to highlight error rates. This will enable F&BS and Business Units to implement strategies to reduce error rates by evaluating the causes and implementing solutions to improve administrative efficiency.