Recording your Sales Tax refund is made quick and simple in QuickBooks Online. I know how important it is to make sure all of your transactions are accounted for by the year-end. If you've recorded the Sales Tax refund in the Tax Center, I'll explain what you'll do with the transaction appearing in your bank feed.
When you record a Sales Tax refund in the Tax Center, you'll be asked to select a bank account. If you've selected the proper bank account, you'll be able to match this transaction with the refund. Simply click the transaction and select Find Match. If your transaction doesn't pick up on any matches, you may have selected an incorrect bank account when you recorded your Sales Tax refund.
Additionally, you're correct that recording the refund in the Tax Center will generate a GST/HST Suspense account in your balance sheet. Don't worry, this is intentional and correct.
Another option is to simply exclude the transaction from your bank account entirely by checking off the box next to the transaction in the bank feed, then clicking Batch actions > Exclude selected.
I hope this helps. If you have any other questions, please reach out to our tech support team.