Void or refund customer payments in QuickBooks Online

Learn how to void or refund payments processed in QuickBooks Online.

If you have QuickBooks Payments, you can take and process your customer's credit card payments in QuickBooks Online. But sometimes, you might need to void or refund payments so your accounting stays accurate. Here’s how.

Find out when to void or refund a transaction

• Void: Transaction batches close at 3:00 PM PT every business day. If you void the payment before the batch closes, you can avoid the processing fee. Find out more about QuickBooks Payments deposit times.
• Refund: After the batch closes, you’ll need to process a refund. You can do this as a full or partial refund. Keep in mind that there are fees for refunding transactions.

Note: If you already set up instant deposits, the payments are batched automatically.

• Void a sales receipt paid by credit card
• Void an invoice paid by credit card
• Refund a customer's credit card payment
• Refund a customer's ACH payment
• Issue a refund manually
• Refund a credit card payment for a sales receipt, paid invoice, or receive payment form

To watch more how-to videos, visit our video section.

Void a sales receipt paid by credit card

1. Sign in to QuickBooks Online .
2. Go to Sales, then select the All sales tab.
3. Find and select the sales receipt you want to void.
4. Select More actions, then select Void.
5. Select Void again to confirm.
   Note: If you want to make changes or print a copy, select Edit or Print from the ACTION column. You can also see other options when you select the ▼ dropdown.

Void an invoice paid by credit card

1. Go to Sales, then select the All sales tab.
2. Find and select the invoice you want to void.
3. Select More actions, then select Void.
   Note: If you want to make changes or print a copy, select Edit or Print from the ACTION column. You can also see other options when you select the ▼ dropdown.

Tip: You can also void customer payments in the QuickBooks GoPayment mobile app.

Refund a customer's credit card payment

There are a few ways you can refund a payment in QuickBooks Online when you have QuickBooks Payments. Follow these steps based on how you received the payment.

Before you issue a refund, take note of the following:

• Credit card refunds can only go back to the original card used for the payment. You might need to talk to your customer to verify this info.
• You can only refund up to the amount of the original sale.
• You can only refund a credit card payment within 90 days of the sale.

Refund a customer's ACH payment

Need to refund an ACH payment that included a convenience fee? You can do this through the Merchant Service Center. Just make sure at least 5 business days have passed since the initial transaction.

To refund a transaction

1. Visit the Merchant Service Center. Or, in QuickBooks, go to Account & Settings, then the Payments tab, and click Manage account. Merchant Service Center will open in a new tab.
2. From the Merchant Service Center, go to Processing Tools, then Refund an eCheck.
3. Select the date range for the payment you want to refund, then Search.
4. Find the transaction you’d like to refund or void, then Submit.
5. If the action was initiated the same day as the transaction, it will be voided. If the action was initiated 5 or more days after the transaction, it will be refunded. A refund cannot be processed if it’s been less than 5 days since the transaction.

Warning: Refunding a transaction from the Merchant Service Center does not automatically update your accounting books. 

To have your books correctly reflect the refunded transaction, you will need to do the following:

1. Create a refund receipt for the customer you refunded.
   1. Select + New, then select Refund receipt.
   2. From the Customer ▼ dropdown, select the customer you want to give a refund.
   3. Fill out the fields with the same info on the original sale.
   4. Note: If you choose an inventory item, QuickBooks will put it back into inventory. If the item is defective or if you don’t want it added back to inventory, you can make an inventory adjustment.
   5. From the Refund from ▼ dropdown, select the account you issued the refund from.
   6. From the Save and new ▼ dropdown, select Save and close.
2. Once the refund transaction happens, you’ll need to manually match the refund receipt to your bank transaction.