Applicable Version:   This article applies to Connected 10.0.04 or greater


An “Invoice Refund” is a type of Credit Memo which can be used to either refund a paid customer invoice or to refund a Quick Invoice issued to a customer.  Like a “Regular Credit Memo” the Invoice Refund will return goods back into inventory, reduce customer and general ledger sales, and reduce sales taxes charged (if applicable).  However, an Invoice Refund will be directed at a bank vs accounts receivable and therefore will be closed upon posting instead of being a credit on the customers account to be used at a later date.

PLEASE NOTE:   If you are using Blue Pay to charge credit cards within Connected, adding an “Invoice Refund” will not initiate the card refund through Blue Pay.    The card refund will need to be done manually via the Blue Pay merchant portal.


To add an Invoice Refund:

1) Select Credit Memos from the Connected Desktop window or from the A/R menu.

2) Click Add and the following choices window will appear.  Choose Invoice Refund and click Proceed with Add New.

 


3) Enter the Customer for which the refund is for.

4) Choose the correct date.  This date should represent the date that the actual refund will be processed.

5) Select an appropriate Payment method (how the customer is going to be refunded)



6)Enter the Quantity and Item’s to be refunded.  Verify/enter the Cost of the item being returned, if applicable. 


NOTE:  If items added to the Invoice Refund are “inventory” type items and Inventory Control is enabled, these products will be returned to stock upon posting.


7) Enter the Price per unit of the item(s) and any Discount provided, if applicable

8) Enter any other information that is required for the refund.

9) The Bank Code used on the Invoice Refund is important as this is where the money will be refunded from.   The Bank Code will default to the one assigned to the Customer and will most likely be the correct destination unless there are extraordinary circumstances.  


10) Save, review and Post the transaction.


Upon posting the Invoice Refund the status will be “Closed” whereas a regular credit memo would remain open until applied to another entry.

The General Ledger accounts used for the Invoice Refund are shown in the following screen.   The credit side of the entry is to the Bank instead of the Accounts Receivable which would be used on a Regular Credit Memo.