Hello there, EliBee.
The record a refund option is for recording purposes and the transaction is recorded correctly within your bank account. After you record a refund, you can run a quick report of the account and look into the Debit and Credit side.
Let me show you how:
- Go to the Accounting menu and select Chart of Accounts.
- Look for the account where you posted the refund. Click the drop-down beside Account history.
- Select Run report.
- At the upper-right of the report, click the Gear icon.
- Click Show More and check the Credit and Debit box.
There you can see the affected accounts. In addition, when you match the refund to the deposit in your bank feeds make sure that you select the correct account where the refund was posted.
Refer to these articles for more detail on how to manage bank downloaded transactions and VAT refund:
Feel free to mention me in your reply if you need more help. You take care!
