Refund for damage caused by vendor

I'm here to help you record the vendor refund, @jobshoptx.

You're on the right track, a refund from your vendor for damaged goods or an item is entered as a vendor credit. A deposit is also created and link these two transaction to completely record the check. Let me show you how.

A. Create a vendor credit

1. Go to the +New button.
2. Under VENDOR, select Vendor credit.
3. Select the name of the vendor.
4. Choose the name of the damaged goods or the item in question.
5. Enter the amount of the check.
6. Click Save and close.

B. Create a bank deposit:

1. Go to the +New Button.
2. Under OTHER, select Bank deposit.
3. On the Account menu, select your bank account.
4. Below the RECEIVE FROM column, select the name of your vendor.
5. Choose your Accounts Payable account.
6. Enter the amount of the check.
7. Click Save and close.

C. Enter a check:

1. Go to the +New button.
2. Under Vendor, select Check.
3. On the Payee field, select the name of your vendor.
4. Select the outstanding vendor credit.
5. Click Save and close.

I'm also adding this article with the tips and topics you can use to manage your expense transactions and manage your vendor's activity: Expenses and Vendors in QuickBooks Online.

Let me know in the comments below if you got questions other than record a vendor refund. I'll be here to lend a helping hand. Take care and stay safe!