Journal Entries of Debit Note

Before passing the journal entries of debit note, you should know the meaning of debit note. Debit note is that note which is given to the supplier or accepted the credit note which is given by our supplier to us when we  returned goods to our supplier or creditor. By giving this paper or enote to creditor, we tries to tell that we are debiting his account with  returned goods to him. Our creditor can also give the note after accepting our returned goods, it will be also the debit note for us. Because we are his customer. When we will return the goods to him, it means we will debit his account in our books. With this, we will not pay  the amount of our returned goods.

Now, we teach you the journal entry of debit note. We simple pass the purchase return entry. When we return the goods, it means goods go out from our the business. Our stock asset will be decreased. We will credit the purchase returned account. With same amount, our creditor's liability  will be decreased. So, we will debit the creditor or supplier account.

In our books 

Creditor or Supplier Account Debit Purchase Return Account Credit

In Our Supplier's books 

When our supplier will receive the debit note, he will pass following journal entry.

Sale  Return Account Debit Customer  Account Debit

Example : Suppose, Sham has received goods of Rs. 5000  from Ram. Ram has returned this good because this is not good. Sham is the supplier of Ram. So, Ram returned goods with debit note.  Pass  journal entry in Ram's books.

Sham Account Debit 5000 Purchase Return Account Credit 5000

Related : Journal Entries of Credit Note