check refund from a vendor

Hello, GolfNut72.

I'll ensure you can record the refund check you received from your vendor in QuickBooks Desktop.

If your vendor sends you a refund check for a bill that you paid twice, please follow the steps below:

Step 1: Record a Deposit for the check you received.

1. Go to the Banking menu, then Make Deposits.
2. If the Payments to Deposit window appears, select OK.
3. In the Make Deposits window, click the Received from the drop-down and choose the vendor who sent you the refund.
4. In the From Account drop-down, select the appropriate Accounts Payable account.
5. In the Amount column, enter the actual amount of the Vendor check.
6. (Optional) Enter a memo, check number, payment method, and class.
7. Once done, hit Save & Close.

Step 2: Record a Bill Credit for the refunded amount.

1. Go to the Vendors menu, and select Enter Bills.
2. Click the Credit radio button to account for the return of goods.
3. Enter the Vendor's name.
4. Choose the Expenses tab and enter the Accounts on the original bill.
5. In the Amount column, enter the appropriate amount for each Account (the amounts may have to be prorated).
6. Once done, hit Save and Close.

Finally, you can link the deposit to the Bill credit.

Here's how:

1. Go to the Vendors menu, and select Pay Bills.
2. Check the Deposit that matches the Vendor check amount.
3. Click Set Credits and apply the Bill Credit you created earlier then select Done.
4. Select Pay Selected Bills, then hit Done.

I've added this article to help you record vendor refunds based on the appropriate scenario: Record a vendor refund in QuickBooks Desktop.

In addition, you can use this resource to guide you if you need to fix AR and AP balances on a cash basis Balance Sheet for future reference: Resolve AR and AP balance on a cash basis Balance Sheet.

You can post again if you need further assistance in recording refunds. I'll be here to help you.