How do I record a refund I receive for a paid bill?

A refund received from your vendor can be recorded in the form of vendor credits. A bill that has been completely paid, however, means all dues towards that vendor have been settled, and a refund cannot be subtracted from it unless the bill payment is reverted.
To record a refund under such cases, you can:

  • Go to the Purchases module from the left sidebar and navigate to the Bills section.
  • Open the respective bill under Paid Bills.
  • Click the More icon and click Create Vendor Credits.
  • Now, open the vendor credit that has been created.
  • Again, click the More icon and from the list, choose the Refund option.
  • Enter the refund amount and click Save.

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