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R
Rafiq11
September 4, 2019
Solved

Credit card refund from supplier for purchase?

  • September 4, 2019
  • 2 replies
  • 0 views

Hi,

I have just started entering transactions for this quarter into QBO.

I have had a partial refund on a credit card purchase for a faulty item.

 

How do I enter the refund?

 

I added the original invoice from several months ago as I assumed I had to raise a Supplier Credit.  I made a supplier credit to match the refund total.  How do I apply the refund to this credit?

 

I watched a video on supplier credit deposit but I can't follow that method as my card is not listed under banking deposit only my main account and Paypal account, no credit card account listed.

 

What is the correct method please?

Best answer by TaliaI

Hello Rafiq,

 

Apologies for the post above - these are the steps to follow when you are recording a refund from a Current account. In the case of a credit card refund, you only need to create a Card Credit. You do not need a supplier credit, or an expense. Delete the credit you created, go to the + icon and select Card credit - fill in the details of the refund here. You will then be able to match this within Banking.

 

Thanks,

 

Talia

2 replies

G
GeorgiaC
September 4, 2019

Hey Rafiq,

 

 

To record the refund you would need to create the initial bill for the whole purchase amount and then create a supplier credit linked to a bank deposit with the details below:

 

 

1. Create a supplier credit (+ icon -> supplier credit​)

2. Choose the correct date and supplier, put in the amount, choose VAT

3. Then click on the + icon again, and choose Bank Deposit, to show that the money went into your bank account

4. Choose the correct bank account on the top left corner, choose the date when the money actually hit your account

5. For Received from choose the correct supplier, for the account choose Creditors, put the amount in, choose no VAT

6. On the Supplier's page create cheque and tick the supplier credit against the bank deposit then save & close

 

 

Thanks :)

 

    R
    Rafiq11Author
    September 4, 2019

    Hi,

    I have already made a bill for the original purchase.

     

    I created a supplier credit for the partial refund.

     

    When I go to Bank Deposit I see only my Current Account and Paypal account not my Credit Card account.

    T
    TaliaIAnswer
    September 4, 2019

    Hello Rafiq,

     

    Apologies for the post above - these are the steps to follow when you are recording a refund from a Current account. In the case of a credit card refund, you only need to create a Card Credit. You do not need a supplier credit, or an expense. Delete the credit you created, go to the + icon and select Card credit - fill in the details of the refund here. You will then be able to match this within Banking.

     

    Thanks,

     

    Talia

      T
      TirzahC
      September 22, 2021

      Thanks for reaching out to the Community space. I’m here to help you link the vendor credit and the deposit in QuickBooks Online, Shell77.

       

      In QuickBooks Pro, the +new icon is unavailable in this feature. You'll need to create a vendor credit and the system will allow you to apply it to future bill payments. 

      1. Go to Vendors.
      2. Choose Vendor Center.
      3. Click the New Transaction drop-down.
      4. Select Pay Bills.
      5. In the Pay Bills window, select Show all bills.
      6. Choose the specific AP account.
      7. Put a checkmark on the deposit you've recorded.
      8. Click Set Credits.  
        1. In the Discount and Credits window, choose the Credit tab.
        2. Put a checkmark on the credit that you've created.
        3. Click Done.
      9. Hit Pay Selected Bills

      For more details, feel free to view this link: Record a supplier refund in QuickBooks Desktop

       

      You may also read through these articles for more insights about handling vendor transactions in QuickBooks:

      Don't hesitate to reach out to us if you need further assistance. I'm always here to help.

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