Vendor Credits

I can share with you the way on how to apply vendor credits to a bill in QuickBooks Desktop, @TomMck.

Here are few steps to perform in applying credits to a bill:

1. Click on Vendors at the top menu bar.
2. Select on Pay Bills.
3. Choose the bill that you wish to be paid.
4. Click the Set Credits button at the bottom to apply the credits.
5. Once done, click on Pay Selected Bills.

For more details, feel free to view this link: Record a vendor refund in QuickBooks Desktop.

You may also read through these articles for more insights about handling vendor transactions in QuickBooks:

• Pay bills in QuickBooks Desktop.
• Use Online Bill Pay in QuickBooks Desktop

Be sure to let me know if you have any other vendor transaction questions. I got you covered with any QuickBooks concern. Thanks for coming to the Community, wishing you continued success.

Hi, @TomMck.

Hope you’re doing great. I wanted to see how everything is going about the vendor credit concern you had the other day. Was it resolved? Do you need any additional help or clarification? If you do, just let me know. I’d be happy to help you at any time.

Looking forward to your reply. Have a pleasant day ahead!

Hello Rubielyn_J, thank you for your response. I understand how to do a vendor credit which is essentially how we will handle a back charge. But since a vendor credit is applied to a bill, we can't use that (or so it seems) to withhold funds which are kept in a savings account for the vendor. In the old program, the programmer summed up the bills and in the subtotal took the deduction for the savings plan (think paying income tax). We could not apply that amount to a bill since that would affect the actual bill. We need to somehow take an amount out of the subtotal and apply to some other liability account in this case a savings account for the vendor. As an aside, the vendors are small companies that operate on a 1099 basis with us. 

Any ideas on how to do this?

@TomMck 

Prepare the Vendor Credits data with the following template

then utilize one of these importer tools

https://partners.saasant.com/affiliate/idevaffiliate.php?id=5051_2

https://transactionpro.grsm.io/qbd

Fiat Lux:

I created and xlsx file from the template and used Transaction Pro to import the spreadsheet into my company file. I'm not sure what I am looking at but I was hoping to reduce the check amount to be paid to the vendor because of the refund. But, no such thing happened. 

I need to be able to enter a bill from a vendor for a negative amount. I know that cannot be done in QuickBooks but functionally that is what I want. I'm not after applying a credit or refund to a specific bill. I want to apply it to a group of bills. I guess what it comes down to is sending an invoice to the vendor and paying for it with an amount taken from the check written to pay a group of bills to that vendor.

I have a screenshot from the previous accounting system where a group of bills were summed up as 'Gross' and a deduction 'MISC' was deducted from the gross amount. Note that the deduction was from the total amount and not from a specific line item. Any one have any ideas or is this just totally out of the realm of possible for QuickBooks? I hope that it isn't.....

Thanks!

--Tom 

I'm not having any luck with a solution for my problem. I've tried everything suggested and nothing solves my problem. Could you please take a look at this again?

Thanks!

--tom

I appreciate your time getting back here, Tom.

As I’ve read your concern, it seems like your situation is similar to a vendor prepayment process. A prepayment is like an advance payment for goods or services before their receipt or invoiced due date.

You can read this article to see the different options: Record vendor prepayments or deposits for prepaid parts or services. However, I still recommend consulting with your accountant to ensure your books are accurate.

I'd like to know if you have additional questions about the process. I'm here to help you out again. Take care and stay safe!

Thank you for your reply. I'll have to study that workflow and let you know.

Thanks!

--Tom