Shipping reimbursements to clients, how to record them

Data2021 · ‎June 29, 2022

Hello,

I have a doubt. When we send products outside US and if it turns out defective, the client returns the product, pays for the shipping and then when received, we reimburse them this expense.

How should I register this? Should I record it as a direct sales deduction (lI thought using Reimbursable Expenses or Accounts Receivable but not sure which one is the correct.

Thanks!

Rustler · ‎June 30, 2022

I would use the sales discount income account as the expense for this. That will offset total sales income as it should be

A/R is a receivable, it does not affect income or expense directly, only the items used on the A/R document affect the income or expense accounts

View solution in original post

Rustler · ‎June 30, 2022

I would use the sales discount income account as the expense for this. That will offset total sales income as it should be

A/R is a receivable, it does not affect income or expense directly, only the items used on the A/R document affect the income or expense accounts

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Shipping reimbursements to clients, how to record them

Shipping reimbursements to clients, how to record them

Shipping reimbursements to clients, how to record them

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