Refund

Hello there, Amycao.

I'll share a way and ensure you can record a refund for your customer's advanced payment according to your needs.

We can use an expense or check to refund your customer. Here's how:

1. Go to the +New button.
2. Select Expense or Check.
3. Select or enter a customer's name.
4. Click account where you want to deposit the payment.
5. On the first line of the Category column, select Account Receivable.
6. Enter amount.
7. Hit Save and close.

Then, let's link the refund to your customer's balance or credit. This reduces the bank's balance and customer credit.

1. Still, go to the +New button.
2. Select Receive payment.
3. Select or enter the same customer name. 
4. Under the Outstanding Transactions, section, tick the Expense or Check you created when recording a refund.
5. Click Save and close.

We can check this article for other ways to refund your customer's refund in QuickBooks: Learn how to record a refund based on various scenarios. 

Also, we can read through these articles to learn more about managing sales transactions and voiding a refund:

• Topics about your company's income and customers.
• Void or refund customer payments in QuickBooks Online

There you go. Please let me know if you have more concerns about recording transactions in QuickBooks. You can add another post below anytime. Take care and have a good one.