HOME / COMMUNITY Switch to knowledge base

How do I tag a single refund to a customer in relation to 2 invoices

I’m looking at tagging a single refund payment against 2 separate customer invoices. It is further complicated because the figures still do not tally because we make an admin charge. Can anyone advise on the best way to do this?


You can do handle refunds on individual invoices and then do journal for admin charges
Dr bank
Cr other income

Example, original invoice to customer was 100, you refunded 100 via credit note, now say admin charges are 5, do a journal as above, you net bank movement will be 100-5=95

1 Like

Thank you, so creating a credit note is the best way of handling refunds where there isn’t a matching payment? Our situation is slightly different in that we will get a payment as a merchant services which is without a client account but then to return it we will have to create the client account to issue a credit note. Does that sound about right?

All merchant services have option of processing refunds, use that and you will have consistent sales and vat booking stream


Hi Forgive me for another question. I can see that I can create a credit note against the original merchant services sale. THEN can I tag a later BACS refund to the client against this credit note ?

No need to tag, once you create credit note it will give you option to record actual payment or hold funds on account. If actual payment from bank then just pay from online bank and that’s it

Thank you again but doesn’t that rely on the fact that all this is done before the repayment is actioned. Unfortunately, we have already made the Bacs payment and it is showing through the bank feed?

Just delete the entry from bank feed

Would be much easier if accounts could be handled as simple transactional accounts.

This topic was automatically closed after 7 days. New replies are no longer allowed.