Hi, we appreciate you for posting your concern here in the Community space.
Let me help you how to record this one. There are two ways how to properly record this transaction. First, you'll need to create a journal entry and reach out to your Account for guidance in recording it.
Another way around, record it as a refund and post it as a payroll expense. Here's how:
Before that, we should see your bank or the financial institution you have as your supplier in recording this.
- Select + New and select Supplier credit.
- In the Supplier field, select the appropriate supplier.
- Enter the Payment date, Amount, and Category (This is the category, product, or service you’re getting credit for).
- Select Save and close.
Next, let's deposit the money you got from the refund.
- Select + New and select Bank deposit.
- In the Add funds to this deposit section, enter the following information:
- In the Received From field, select or enter the desired supplier.
- In the Account field, select the Creditors account (Accounts payable).
- In the Amount field, enter the amount of the refund.
- In the VAT field, select No VAT (not inclusive/exclusive of tax).
- Select Save and Close.
- Next, go to + New and select Cheque
- Add the Payee and select the Bank Account.
- From the Add to Cheque section, select Add for the deposit and the supplier credit (make sure both are selected).
- The balance should be 0 as they will cancel each other out.
- Select Save and close.
- If you have Online Banking, go to Bookkeeping, select Transactions, then match the record found on the Bank transactions page.
And if your supplier refund comes through your automated bank fees, you don't need to record it manually. Simply use the add function to add the refund as a deposit categorise it to the Creditors (Accounts Payable) account.
For future use, if you want to track bills and record payments, you can read this article: Enter and manage bills and bill payments in QuickBooks Online.
If you have any other concerns about recording transactions, never hesitate to move back here. I'll be willing to lend a hand. Keep safe, and have a blissful day!
