How do I record a sales refund which has been made as part of an expense - merchant credit card charge

Good day, ML693,

You'll want to record this as Credit card credit. Follow these steps below:

1. Click the +New icon on the left pane.
2. Under SUPPLIERS, click Credit card credit.
3. Select the vendor under Payee.
4. For the Bank/Credit account, select where the refund is coming from.
5. Enter the transaction details.
6. Save and close.

Here's an article for future reference: Understand your credit card processing statement.

I'll be around if you need further assistance.