Good day, TammieMB.
I'll guide you on how to create a refund in QuickBooks Online.
We can create a check in QuickBooks to record the refund, reduce your bank's balance, and offset the customer's overpayment.
Here's how:
- Click on + New.
- Choose Check. You can also switch to Accountant view first if you're in Business view, then come back to these steps.
- Select the customer you want to refund from the Payee ▼ dropdown.
- From the Payment account ▼ dropdown, select the bank account where you deposited the overpayment to.
- On the first line of the Category column, select Accounts Receivable.
- Enter the amount of the refund in the Amount field.
- Complete the other fields as you see fit, then select Save and close.
Once done, we need to link the refund to the customer's overpayment.
Like this:
- Click on + New.
- Choose Receive payment.
- Select the same customer you used for the check or expense when recording the refund.
- Complete the other fields as you see fit.
- Under the Outstanding Transaction section, tick the checkbox for the Check you created when recording the refund.
- Make sure the payment is equal to the open balance, then select Save and close.
For more details about the refund process, check out this link: Record a customer refund in QuickBooks Online.
I've added this article if you need to print the refund check: Print a check in QuickBooks Online.
Let me know if you have other concerns or questions about processing the customer refunds. I'll get back to you as soon as possible. Keep safe!
