Hello there, @chanelsmomma.
Allow me to help you further with your tax concern.
You can use the bank deposit feature if you want to increase the bank balance fort the refund. A journal entry would also work the same if you want to consider doing so.
Next, you can create a new item then add it to the bill as a reduction. Here's how:
- Go to the Settings ⚙ menu, and then Products and Services.
- Select New.
- Choose between Non-inventory or Service for the type.
- Add description in the Name field.
- Set up the amounts and accounts.
- Choose an appropriate tax rate so that the reduction is nontaxable.
- When you’re done, select Save and close.
Once done, add this to the bill as another line item. Make sure to put a negative amount so the total is reduced.
I've added a few related links for your reference when working with QuickBooks:
Comeback here for other feature or general concerns about the program. I'll be more than happy to help you, especially for this invoice topic. Have a nice week ahead!
