1. On the Invoice you wish to write-off, click CREDIT NOTE

2. Enter the reason, and a future reversal date* (change the Journal as needed) and click REVERSE

3. Change the account on the Credit line(s) to the contra-asset account you want to use

When the Credit Note is posted, the debit will be moved / reclassed to your Bad Debt account. It is automatically matched to the Customer Invoice.

* a future reversal date is necessary so you can edit the account on the Credit Note before posting, if you cannot do this you will need to

• click RESET TO DRAFT on the Credit Note to unpost it
• adjust the account to the contra-asset account you want to use
• click CONFIRM to post the Credit Note
• scroll to the bottom and click ADD to match the Credit Note with the original Customer Invoice