paid sales amount refund by shopify how to categorize

I appreciate your time posting here, morshed jahan.

I'll share some steps regarding the Shopify transactions. You can use the Accounts Receivable account to categorize the refund. Doing so will add the transaction to the customer transaction list, and the customer will have an open balance.

To show that the amount is refunded, let's create a receive payment and link the expense we added from the Banking page.

Here's how:

1. In the Customer page, click the New transaction drop-down.
2. Select Payment.
3. Under the Outstanding Transactions, put a check mark on the expense box.
4. Click Save and close.

I've got these sample screenshots for reference:

Once recorded, the customer balance will be zeroed out.

The other option is to follow the steps in this article: Refund customer payments in QuickBooks Online. Then, match the refund to the transaction in the Banking page, so you don't have to categorize it.

Please let me know if you have any additional questions in the comments. Take care and stay safe.