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QuickWin
Level 1

How to record a customer rebate given after the sale in Quickbooks Online?

My client gives rebates if the customer provides proof of using a particular outside service. This is almost always going to be after the sales receipt date.  This is like a discount, only after the fact.  It's not a refund due to cancellation or dissatisfaction from the customer.  The client is using Simple Start subscription level.

What is the best way to record this rebate so that it can also be tracked for reports?

3 Comments 3
JenoP
QuickBooks Team

How to record a customer rebate given after the sale in Quickbooks Online?

Good day, QuickWin.

 

I'll help you set up the rebate in QuickBooks Online.

 

You can create a service item that will represent the rebate. Then, edit the invoice or sales receipt and it to the second line whenever the customer is entitled to receive it. Here's how: 

 

  1. Go to the Gear icon and select Products and Services.
  2. Click New in the upper-right hand corner, then select Service.
  3. Enter the name of the rebate and select an Income account.
  4. Provide all other details of the item.
  5. Click Save and close.

 

Once done, open the invoice or sales receipt and add it to the second line of the transaction. 

 

You can also follow these steps to run a report for this item:

 

  1. Go to back to the Products and Services section and look for the rebate.
  2. Click the drop-down list beside Edit.
  3. Select Run report.

 

Just in case the client chooses to upgrade the QBO subscription, you can keep this article for future reference: Add a Discount to an Invoice or Sales Receipt in QuickBooks Online.

 

Please don't hesitate to reach out to us again if you have other questions. I'd be glad to jump right back to help you again. 

QuickWin
Level 1

How to record a customer rebate given after the sale in Quickbooks Online?

Thank you so much for the info.  Your 2nd step says to add it to the invoice.  However, this is a rebate for AFTER the Sales Receipt date was recorded (this is not an invoice transaction).  i.e. The sales receipt was on 4/20, but the rebate was given on 6/12.  That is what I am trying to figure out how to record in the Simple Start subscription.

BettyJaneB
QuickBooks Team

How to record a customer rebate given after the sale in Quickbooks Online?

I appreciate the clarification that you gave, @QuickWin.

 

I've got the steps that you need in recording your sales rebate in QuickBooks Online.

 

You can create a refund for the rebate amount since this was given after the sales receipt was recorded. This way, you can track the discount that you gave.

 

To do that:

  1. Click on + New.
  2. Select Refund receipt or Give refund.
  3. Click the Customer ▼ dropdown, then select the customer you want to refund.
  4. Select the Refund From ▼ dropdown, then select the bank you deposited the payment for the invoice to.
  5. Add all products or services the customer returned in the PRODUCT/SERVICE column.
  6. Make sure to fill the service date, quantity, rate, amount, tax, and other fields accordingly, then select Save and close.

For more details about handling customer's refund in QBO, please check out this link: Learn how to refund a customer.

 

To add up, know that QuickBooks Online gives you the option to add discount on your sales transactions. However, this can be done upon creating the sales entry.

 

Here's how to utilize the feature:

  1. Select Settings ⚙ and then Account and Settings.
  2. Select the Sales tab on the menu.
  3. In the Sales form content section, select the pencil ✏ icon to edit it.
  4. Select the Discount checkbox to turn it on.
  5. Then select Save and then Done.

This adds the discount field to your invoices and sales receipts. QuickBooks also creates a Discount given account to track everything on your chart of accounts.

 

To learn more about this process, feel free to scan through this reference: Learn how to discount invoices and sales receipts.

 

Lastly, here's an article that you can refer about receiving customer's payments in QBO: Learn how to receive and record invoice payments in QuickBooks Online.

 

Know that you can always get back to me if you need more assistance with managing your sales transactions. Have a lovely day

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