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Is it possible to process partial supplier refunds for returned products in QBO Simple Start?

Forum|Forum|6 years ago
July 23, 2019
3 replies
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QuickBooks Online

Best answer by Ashleigh1

Just to add to this discussion, as we've just discovered this after 30 to 40 minutes with one of your support reps.

I find it shocking that Quickbooks is able to market SimpleStart as even a basic package if it lacks this fundamental feature. You're seriously saying that you cannot account for a partial or total refund of an expense paid to a supplier without upgrading to the next plan up?

It's exactly the same as if we had to refund one of our own customers (a feature you do allow on Simple Start) - it's incredibly basic and fundamental to bookkeeping for any level of business. You shouldn't be offering a basic plan without this functionality.

Unbelievable. And the reason why we're now looking for alternative software. Not because of the price increase - as we'd have been happy to pay a bit more for the basic plan if it included this functionality in the first instance - but the tactics used with effectively forcing people to upgrade.

Hello Eversir,

Thanks for commenting on this thread,

We have taken your feedback on board and we will pass it on to our developers.

As simplestart doesn't have the feature of bills.

You could do this workaround if you are not wanting to upgrade to the next package that does cover bills.

The workaround is you would need to create a deposit and in the account column of the 'add funds to this deposit' section select the same expense account that was originally used in the bill/expense.

A

Alessandra_B

Level 5

Hey @garyevans1991,

You’ll need to record a bank deposit when receiving a refund from your supplier. Let me guide you through the steps.

To achieve this, here’s how:

Click on the Gear icon.
Choose Bank Deposit.
Enter the supplier name in the Received from column.
Enter Account and Amount.
Click on Save and Close.

You can refer to this article for more information: How Do I Handle Supplier Credits and Refunds?

We also have our Help Articles page in case you want to learn more processes in QuickBooks.

Feel free to let me know if you have any other questions. I’d be happy to help you.

G

garyevans1991Author

So instead of putting the transaction as income I create a new bank deposit. Do i then need to match that to the transaction in my bank feed?

E

EdwardR

Hi Gary,

The Bank Deposit is to represent the refund from the supplier going into your bank account.

G

garyevans1991Author

This is gonna sound stupid.

So in my chart of accounts it's showing 2 transactions for the refund. The one that my bank feed pulled and then the new one I've just created

One shows a negative amount, one shows as positive? Is that correct or have I done something wrong

M

Marvasti

Hey garyevans1991,

On the manual bank deposit you created, you will need to select your Creditors account on the 'add funds to this deposit' line on the bank deposit.

The amount that was refunded to your bank will need to be matched rather than added, you can see the full steps to record a supplier refund on the steps below:

1. Create a supplier credit (+ icon -> supplier credit)

2. Choose the correct date and supplier, put in the amount, choose VAT

3. Then click on the + icon again, and choose Bank Deposit, to show that the money went into your bank account

4. Choose the correct bank account on the top left corner, choose the date when the money actually hit your account

5. For Received from choose the correct supplier, for the account choose Creditors, put the amount in, choose no VAT

6. On the Supplier's page create cheque

7. Tick the deposit against the supplier credit (this shows QuickBooks, that the supplier credit has been used, and money was received from the supplier),save and close

8. Match the deposit against the transaction on your banking screen

I dont underestand the step after on Supplier page create cheque.

Becuase if I create a cheque and tick the supplier credit I get error no bill to match the credit but the credit is being used to refund the bank...

P

pawhouse

Here's the answer to handling a refund from a supplier in QB Simple Start, where the refund has come through as a bank transaction. This also adjusts the GST properly.

I am NOT an accountant, so I am happy for any accountants to correct me if I am wrong, but it all worked just fine.

I guess it is not in Intuit's interest to give us the easy answer when there is an upgrade available.

Create a NEW Journal entry.

In the first line select the Account you added the expense to originally. eg. Repairs and Maintenance, add the amount of the refund as a CREDIT, add a description and select the supplier in the Name column. Make sure GST on Purchases is selected.

On the second line, in Account, select the Bank account that shows the refund. Then the amount in the DEBIT column and a description.
You can add a memo down the bottom so it shows in the GST details report easily.
Select Save and New.

Next open up banking where the refund amount is, you should see a '1 record found' in the Category or Match column. simply select Match as the Action and that is it.

To confirm, go to Reports -> GST Details. You will find the entry in the purchases section, with the taxable amount and GST adding up to the refund amount as a negative $ entry.

You can also go to Accounts -> the account you selected and open it, you will see a negative entry in there for the refund.

D

DBT85

Somehow I replied to the wrong post.

FML its done it again. I give up.

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