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AlysiaS
January 19, 2022
Question

Recording Vendor Double Payment and Refund of Payment

  • January 19, 2022
  • 1 reply
  • 0 views

We accidentally ended up paying a vendor twice, we bought a product and one employee went to pick it up and dropped the check off and the invoice was sent via email to A/P and was paid again with a different check. Both were cashed, however, a check was requested from vendor for the full amount for a refund of the second payment. I entered the bill normally and recorded the first check as the payment, however now i have a second check written out and recorded in quick books (looks identical to original check) not tied into a bill, AND i have a check from the vendor for the same amount as a credit. How can i record it properly.

 

Thanks in advance! 

1 reply

AlexV
AlexV
January 19, 2022

Hi AlysiaS!

 

I can show you how to record a refund from vendor.

 

You'll need to deposit the refund you received. Follow these step on how to do it:

  1. Go to the Banking menu and select Make Deposits.
  2. Select the vendor under Received From drop-down and chose the Accounts Payable account on the From Account drop-down.
  3. Enter the Amount and the Deposit To bank account.
  4. Tap Save & Close.

 

Once done, let's create a vendor credit for the refunded amount. Here's how:

  1. Select Enter Bills from the Vendors menu.
  2. Make sure to select the Credit radio button and the Vendor name.
  3. Enter the details needed like the Credit Amount, then click Save & Close.

 

The last step is to link the two transactions you created by using the pay bills feature.

  1. Go to the Vendors menu and select Pay Bills.
  2. Find and check the deposit you created.
  3. Click the Set Credits button and select the credits you created.
  4. Select Done, then Pay Selected Bills.

 

I also added this article if you need help in clearing customer and vendor balances: Write off customer and vendor balances.

 

Reply to this thread if you have follow-up concerns with vendor transactions. I'll help you!

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