Sales Returns#

A Sales Return (SPT) records that a customer has returned goods to you — damaged, excess, rejected on QC, or simply not wanted. It reverses some or all of what you shipped, putting the stock back on your books.

An accounting credit note to the customer usually follows as a separate commercial step outside Neriyam.

Where it sits in the flow#

Sales Order  →  Sales Delivery Note  →  Sales Return

Under the hood, an SRN is a stock entry with transaction type SPT. It has a header (customer, warehouse, posting date) and one or more lines, each typically drawn from an SDN.

Two ways to create a Sales Return#

1. From SDN (default — preferred)#

Tied to a specific Sales Delivery Note in Neriyam. The return is traceable back to the exact SDN, which is itself traceable to the SO line. Most returns should use this mode — it preserves the audit chain and the per-line returnable-quantity caps.

2. External Reference (for pre-ERP sales)#

For returns of sales that pre-date Neriyam, where there is no SDN to link against. Tick the External Reference toggle on the create page; the form switches to capture your original invoice details instead of an SDN link. See External Reference mode below.

Creating a Sales Return — From SDN#

1. Navigate to Sales › Sales Return.
2. Click + New Sales Return.
3. Leave External Reference unchecked.
4. Pick the Customer.
5. Pick the Sales Delivery being returned against (and the specific lines).
6. For each line, enter the Return Qty and confirm the Warehouse (destination — where the returned goods will sit).
7. Add Remarks explaining the reason for the return (damaged, excess, QC reject, etc.). This field is required.
8. Click Save as Draft — you land on the detail page.
9. On the detail page, review and click Submit for Approval when the goods have physically returned.

The create page only has Cancel and Save as Draft buttons; the Submit for Approval action lives on the detail page once the draft exists.

Line fields (From SDN)#

External Reference mode#

For sales that pre-date Neriyam — where you have a real return to process but no SDN to link against — tick the External Reference toggle on the create page. The form switches to capture your original invoice instead of an SDN link.

When to use it#

• Returns of stock you sold before you started using Neriyam.
• Returns where the original SDN cannot be located in the system.
• Cleanup of legacy customer transactions during onboarding.

What changes when the toggle is on#

• The SDN picker is replaced by free-text fields:
  • Original Invoice Number (required)
  • Original Invoice Date (required)
  • Notes (optional)
• A Customer picker appears; you choose the customer directly.
• A Warehouse picker appears; you choose where the returned goods will land.
• Per-line Returnable Qty caps do not apply (there is no SDN to compare against).
• You add lines manually — pick the item, warehouse, and quantity.

What stays the same#

• Validation rules: items must be sellable + stockable, ownership is own-only, customer and items must be Approved.
• Posting effect: an inward stock-ledger entry per line at the rate captured on the line.
• Status flow: D → S → optionally C.

What happens when you submit#

• An inward stock-ledger entry is posted in the destination warehouse, increasing balance quantity and value.
• (From SDN only) The SO line's Returned Qty increases by this SRN's quantity; Pending Qty recalculates as Ordered − Delivered + Returned.
• The SRN gets its own code from the SRN numbering series.

Valuation of returned stock#

Returns come back at the rate they left at. This keeps the cost basis consistent with the outward movement and avoids arbitrary revaluation on return.

If a returned item has genuinely dropped in value (e.g., damaged goods), handle that as a separate Stock Adjustment after the SRN — do not bake the revaluation into the return itself.

Where returns typically go#

Most shops route returns to a dedicated warehouse, not straight back into sellable stock. Common naming:

• Returns — Inspection (goods await QC)
• Returns — Sellable (passed QC, can be resold)
• Returns — Scrap (failed QC, to be written off)

After QC, stock moves from the inspection warehouse to sellable or scrap via a Stock Transfer or Scrap Entry.

Cancelling an SRN#

Cancelling a submitted SRN posts a reversal — an outward entry at the same rate. Both the original and the reversal stay on the ledger.

If a downstream document references this SRN's lines, cancellation is blocked; you will see an error naming the dependent document(s).

In the other direction: while an SRN exists against an SDN, cancelling that SDN is blocked until the SRN is cancelled first. Cancel from the leaves up.

Cancellation requires INVENTORY.CANCEL_STOCK_ENTRIES permission and a reason.

List page#

• Search by SRN code or customer
• Filter by date range, warehouse, status
• Click through to the detail page
• Row menu: View PDF, Submit (Draft), Cancel (Submitted)

Printing#

View PDF generates a return note PDF showing:

• Company header
• Customer billing / shipping details
• Line items with return quantities
• Reference SDN and SO codes (or the External Reference details)
• Reason / remarks

Permissions#

Related#

• Sales Orders — the parent document
• Sales Delivery Notes — what an SRN reverses
• Stock ownership
• Stock valuation

FAQ#

Can I create an SRN without a prior SDN? Yes — turn on External Reference mode and capture the original invoice number and date instead. Use this only for pre-ERP sales or genuine cases where the SDN is not in the system.

Can I return partial quantities on an SDN line? Yes — enter the partial quantity on the SRN line. Subsequent returns against the same SDN line are allowed up to the net delivered amount.

Does a return create a credit note automatically? No — SRN records the physical return and the stock impact only. Any commercial credit (credit note, refund) is recorded separately in your accounts process.

Can I return goods to a different warehouse than they shipped from? Yes — the warehouse on the SRN line is the destination of the return, which can be any warehouse. Commonly a "Returns Inspection" warehouse.

Can I return customer-supplied material this way? No. SRN is own only — customer-supplied material does not flow back through a sales return. Customer material is returned through a planned Job Work Delivery; for now, treat that case separately.

Validation rules#

A Sales Return (SPT) entry can only be submitted when these rules are met:

Item requirements

• All items must be sellable (is_sellable = true) AND stockable (is_stockable = true). The line item picker filters to sellable + stockable items upfront, and the API rejects mismatches at line save and at submit.

Quantity

• Always positive in the form. The system records the line as inward (stock increases).

Document linkage

• The default mode requires a prior Sales Delivery Note with available returnable qty.
• External Reference mode replaces the SDN link with the original invoice number and date. When the toggle is on, SDN linkage is suppressed; when off, the External Reference fields are not used.

Header

• Customer is required.

Ownership

• Own only. Customer-owned material does not return through SRN.

Approval state

• The customer and all items must be Approved to be selectable in the picker.

If a rule is violated, submission fails with a specific error naming the line and the problem.