How to Record a Refund from a Vendor in QuickBooks Online?

To record returns to the sellers, that time the vendor credits are used in QuickBooks Online. Also, the vendor refund can be used to feed the details of refunds from vendors to every client of the business. Filing of refunds in various scenarios helps customers to keep up to date on financial matters. This article will help you with the QuickBooks vendor information you received from a vendor. If you have just received a refund for your business expenses then we can help you how to create a vendor credit. If you have received credit for your future purchase, we recommend entering credit instead.

You can refund your customer for credit card payment on the sales receipt or invoice if they are using a credit card on their purchase. The way to record your purchases shows how can you enter the refund.  QuickBooks is the first best accounting software that works for various small business owners. It serves the users with the best facilities for accounting and financial works. 

For years, QuickBooks itself has always proved it is a notable tool for QuickBooks users. QuickBooks has always been a trustworthy accounting product for a solo entrepreneur that ensures full security to the transactions in the accounts. Not only this, but it also provides lots of highly advanced and new features for making the work of the owner smooth and simple.

Procedure to record a refund from a vendor in QuickBooks Online

Follow the below steps and know how to record a refund from a vendor in QuickBooks Online, read and follow carefully:-

Step 1: Enter a vendor credit details

1. Click on the + New option.
2. Chose either Vendor credit or Receive vendor credit.
3. From the Vendor dropdown menu, choose your vendor.
4. After that, on how you record purchases with the vendor you need to enter the product details or Item details base. Basically, this is the category, items, products, or service you’re getting credit for.
5. And after that, you need to click on the Save option and then close.

Step 2: Deposit your money got from QuickBooks Vendor Refund

1. Click on the + New option.
2. After that, you need to click on the Bank Deposit option.
3. From the Account drop-down menu, click on the account where you got the refund.
4. Now enter the following information in the Add funds of this deposit section:
   • Received from: Chose the vendor who gave you this refund.
   • Account: this process should make sure that to click on the Accounts Payable.
   • Payment method: Select the method of payment your vendor used to refund you.
   • Amount: Now fill in the amount of your refund.
5. At the end of this process, you need to click on Save and Close option.

Step 3: Utilize Pay Bills to connect the bank deposit to the vendor credit

1. Click on the + New option.
2. Now chose the Pay Bills.
3. Then click on the bank deposit you have created just. Here you will get the amount of the vendor credit in the field of Credit Applied. Make sure the Total payment will be $0.00.
4. Now hit on Save and then close.

Final Thought!!!

This is the best solution and procedure to record QuickBooks vendor refunds. We assure you that following the above steps according to your needs will definitely make your work easier than before. And if you need any problem then consult with the QuickBooks support team.