PST refund turned in to a tip

Hello snow151,

It's great to hear from you again, and it's generous of your customer to turn the overpayment into a tip. I can see how handling that in your books might be a bit of a challenge, but I'm here to share how it's done in QuickBooks Online.

Fortunately, our QuickBooks Community has accounted for this kind of scenario, and we have a great help article: Record an invoice overpayment as a tip. There are a few steps to take, but the article takes you through it step-by-step so that you can have the confidence it's recorded effectively. I recommend reading through the article and giving it a shot.

Since your refund turned tip is based on a PST overpayment, it may be beneficial to speak with an accountant if you have questions or concerns. They'll be able to let you know if there's a special way you should handle that given the tax filing implications. To connect with an accountant, you can use the My Accountant tab in QBO. The tab offers up a field where you can invite your accountant to be a user in your books or you can use the Find a pro to help button to learn about QuickBooks-certified accountants in your area.

Don't hesitate to stop by again if you have other QuickBooks questions!