It is sometimes necessary to provide a refund to a customer in the form of Cash, Credit Card refund, cheque, etc. This differs from a Credit Note, as the transaction results in outgoing cash-flow and should appear as debit in the Banking report.
Click on the Refund button on the customer account screen, and create a refund transaction (being the reverse of a payment received).
A "Issue Refund" popup window will appear -
Payment Type - Refer to the measn by the refund is made- cash, cheque, credit card etc.
Refund Ref - Allow for an explanation for the refund, e.g. may refer to an invoice or job number.
If refund transaction refers to a full invoice amount, the user may later choose to delete that whole invoice to keep the Sales figures accurate. If a Credit Note has been previously create to allow for the credit on the account, then this may also need to be deleted.
Notes - Release 6.2.3 - Issuing a refund assumes that the customer has previously paid an amount against an invoice, or it refere to an unallocated payment. To keep the records straight, the original payment to which the refund relates should be 'de-allocated' in the account, so that the refunds and de-allocated payments cancel each other out.
If the refund made is only part of a payment received, the remainer of the payment which still applies can tyhen be 're-allocated' to the invoice which it relates. See Section 11.2 of the user manual.