Hi there, @WiganStore.

Allow me to provide additional insights in this VAT concern.

When creating a refund receipt in QuickBooks Online, you'll need to make sure that the refund amount and the VAT code are correct. This way, the VAT will be excluded from the customer and to your return.

In doing this, just perform the steps presented by AlcaeusF above. If you need assistance with preparing and submitting the return you can always utilize this link: Submit a VAT return in QuickBooks Online.

Know that I got your back if you have any other questions. Just notify me by leaving a reply below. Take care!