How do I forgive the rest of a partly paid invoice?

Enter the amount to credit against its original lines, choose Forgiven balance, and check Total credit before issuing. On a $1,000 invoice paid $900 by check, a $100 credit closes the remaining balance. DeskOps keeps the $900 payment and collected income unchanged; it does not invent another payment or an expense. Any tax credit uses the invoice’s saved rate, capped at the tax originally charged. Credit notes work on ordinary issued invoices independently of the sales-tax settings rollout.

A credit above the remaining balance requires an explicit account-credit or refund choice. A balance-reducing credit can be undone from its confirmation or the invoice’s Credit notes section: the original credit stays in history, an opposite entry restores what is owed, and the customer statement shows both dates. Undo is refused while a collection is in progress or the reversal date is locked. Credits that created account credit or a refund, and credits reported to Stripe Tax, need their corresponding correction workflow instead.

For cash-basis taxes, an unpaid amount that was never income does not become a deductible expense merely because you forgive it. Your accountant can review the credit and its journal in the books.