expenses

How do I record the refund of the excess payment I had made to a vendor?

Recording vendor payment refund can be done in the following ways:

From the Contacts section:

To record vendor payment refund,

  • Log into your Zoho Books account and click on the Contacts tab.
  • Select the vendor against whom you wish to record a vendor payment refund.
  • Click on Unused Credits under Contact overview, and you will see the excess amount that you’ve paid the vendor.

Unused credits

  • In the pop-up window that follow, click on the Refund option next to the amount.

Click on Refund

  • In the screen that follows, enter the refund amount and click Save.

From the Banking section:

To record vendor payment refund under banking,

  • Log into your Zoho Books account and click on the Banking tab.
  • Select the bank account of your choice.
  • Click on the New Transaction drop-down and select Vendor Payment Refund.

Banking Vendor Refund

  • In the screen that follows, choose the vendor against whom you wish to record the refund.
  • Enter the amount, and click Save.

Vendor Refund form

From an uncategorized transaction:

Let us consider a scenario where your vendor refunds the excess amount you paid to your bank account. Now, the entry will be fetched as part of the bank feeds and will be listed as an uncategorized transaction. In this case, we’ll have to manually categorize the transction and associate it with the vendor who refunded the amout.

To record vendor payment refund from an uncategorized transaction,

  • Log into your Zoho Books account and click on the Banking tab.
  • Select the bank account of your choice.
  • Click on the Uncategorized transaction which you wish to record as a vendor payment refund.

Uncategorized vendor refund

  • In the form that appears, select Vendor Payment Refund under category and select the vendor.

Categorize vendor payment refund

  • Enter the feed amount and click Save.
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