How to Record a returned online bill payment in QuickBooks Online
@Rustler I have this same issue and have a follow-up question. Payment to vendor made in October 2018, payment returned/deposited in Jan. 2019 and bill re-paid in Feb. 2019. No inventory involved.
Would it work to use A/P as the clearing account for both the return/deposit and new payment? I did this, but wondered (a) if it's correct and (b) do I need to "add" the deposit to the new payment/expense? In QBO, the drawer opens on the expense and asks if I want to add the deposit to the expense. The drawer also contains the expense I'm working on, which seems odd. What am I missing here? Thanks in advance!
I have never done it that way so I really can not say if it works ok or not.
I do it the way I mentioned previously because I do not want the original date of the bill payment to change. In cash basis reporting, and when dealing with inventory, that date of payment is important.