Maybe this will help clarify your scenario.
1. Can you do a Purchase Return without a Purchase Credit Memo?
Yes — you can create a Purchase Return Order for the received quantity even if it hasn’t been invoiced yet. But it won’t reverse the item charges unless the related charge invoice has also been handled correctly.
2. Will item charges be reversed when doing returns + credit memo?
Partially. When you return items, the cost (including allocated item charges) is reversed from inventory. But the payable to the freight vendor is not automatically reduced, because that charge is linked to a separate invoice.
Example – 100 units with $100 freight:
You return 10 units.
Inventory is reduced with charge-adjusted cost.
But the freight vendor still shows $100 payable — BC does not auto-adjust that payable.
What to do:
To reduce the payable to the freight vendor, you’ll need to:
Create a Purchase Credit Memo against the freight vendor.
Manually allocate the value proportionally (e.g., $10 for 10 units) using item charge assignment on the credit memo.
This ensures both inventory and freight payables are accurately reversed.
Mark below checkbox to make this answer Verified if it helps you. Let me know if you’d like a step-by-step example.
