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Receiving a Refund from Vendor Creating Problems with Inventory?



I got a partial refund back from my vendor for $1,242 for 1 widget that originally I paid $6,750.  This widget is currently in my inventory as 1.


I created a credit of $1,242 which was applied towards this widget.  I made the deposit and applied it from the vendor and the accounts payable account for the amount of $1,242.  Here is the problem, when I create a credit for the $1,242, it takes the widget out of my inventory????  Inventory shows zero.


How do I solve this?





1 Comment 1
Joesem M

Receiving a Refund from Vendor Creating Problems with Inventory?

Hello there, @Hootie1973.


Since you have used the widget on the Vendor credit, this will normally turn on to zero. What we can do instead is to create a Bank deposit and use the expense account.

Here's how:

  1. Go to the Banking menu, then select Make Deposits.
  2. If the Payments to Deposit window appears, select OK.
  3. In the Make Deposits window, select the Received from the drop-down and choose the vendor who sent you the refund.
  4. In the From Account drop-down, select the Expense account.
  5. In the Amount column, enter the actual amount of the Vendor check.
  6. Enter the remaining information in the Deposit.
  7. Select Save & Close.

To know more about recording refunds in QuickBooks, you can click this article:Record a vendor refund in QuickBooks Desktop.


Also, I'm adding our Self -help articles it provides tips navigating your account in QuickBooks.


Keep me posted on this, and I'll be right here if you need anything else. Take care.


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