I’ve have just bought something through the company’s PayPal account by mistake!, It should have been bought through my personal PayPal account. I have contacted the seller, explained my finger fail and he is sending me a full refund back to the company’s Paypal account.
My question is what to do with the debit which will show up on the company bank account in QF? It will take a few days before the refund will hit the company’s Paypal account and I can then refund it back up to the bank account.
Note to self….in future make sure you’re 100% which Paypal account you’re logged into:)
If it’s been refunded in full fairly quickly, you could just delete the transaction as it would have no effect on your accounts anyway.
Otherwise, you would tag the money out as a transfer to your drawings or DLA account, and the money back in (the refund) as a transfer from your drawings or DLA account also. This would cancel them out but it would also keep a record of the transaction and it being a “personal” transaction rather than a business one.
As I’ve got a PayPal account set up in QF, could I just tag it to PayPal from bank, with “personal” transaction by mistake as narrative and then do the reverse when I can send the refund back from PayPal account?
So in the PayPal account, you would have the money leaving the account for the purchase. Just tag this as a transfer to your drawings or DLA account (depending on whether you’re a sole trader or limited company). And simply do the opposite when they refund the money.
If the money actually leaves your bank account, tag this as normal - as a transfer to the PayPal account.
