Hi ktmbk2021-gmail-, thanks for your post - you can create a new account in your Chart of Accounts to record this. To do this, click the Cog > Chart of Accounts > New and select a liability account from the 'account type' drop-down. Here, you can enter an open balance for the refund amount. Once saved, allocate the refund in your bank for review tab by selecting the same liability account on the category field of the transaction. This will then reduce the liability amount owing in the account back to 0.00. 

Please note the VAT control account should not be used as this is for internal use in QuickBooks only. 

Thank you for your response Georgina. Can you please explain further - 

Once saved, allocate the refund in your "bank for review" tab by selecting the same liability account on the category field of the transaction. Where is "bank for review tab"?

Karen

Hello Ktmbk2021-gmail- so you will find the bank for review by clicking the transactions tab on the left hand main navigation bar>banking> for review you will then find the transaction in there to match up.

The bank feed is not set up so all transactions are still manual, what is the solution for a manual entry please?

Hello Ktmbk2021, To confirm you want to know how to record the VAT refund? Do you have VAT set up in Quickbooks?

yes that is correct. It is from a quarter before the client was using QB and there is no bank feed

Thanks for your clarification Ktmbk2021, As the refund covers a period not filed within QuickBooks, you can create a deposit or record a journal entry to enter the transaction. We'd recommend consulting with an accountant about which chart of account to post this to.