debit & Credit note

Dear Sunil,

Debit Note:- It is an advice issued to a person whose account you are Debiting in ur books...

Eg:- Issued to Debtors -  After raising of invoice u noticed that one of the product was supplied at a lower price..

Issued to Creditors - After receipt of invoice from Creditor u have realized that some of the goods are to be returned, or of bad quality so u will debit his a/c.

Credit Note:- It is an advice issued to a person whose account you are Crediting in ur books...

In short it is just a formal intimation that we have debited/credited ur A/c by xxxx (amount) on account of ____________(Reason)

 Thanks  Amir-  If u give an example then it clarify properly.   

Dear Sunil,

I have mentioned example in case of Debit Note,

and examples/reasons for Credit Notes can be simply opposite..

Any amount which is credit/debit to the account of Debtors/creditors is informed through Debit note/credit Note.

It may be Sales Return, Purchase Return, Sales Price Variation, Purchase Price variation, Discount on Sales
Discount on purchases, Deficit/Damage on goods sold, Deficit/Damage on goods purchased, Bank charges or freight or other charges paid on behalf of customer.

Dear All

I want to khow how to create debit note and which head to debtors in tally for late payment issue.

Arshad