Topic: Purchasing

You use a Supplier Refund Document to record your Supplier returning money that is directly related to purchasing activity. The most common use of the Supplier Refund is when you purchase Items from your Supplier, you pay immediately and you therefore use a Cash Purchase Document to record the transaction. If for some reason you want to return an Item, or they are unhappy with something you have purchased, you can use the Supplier Refund to record the return of the Item(s) to the Supplier, and the corresponding amount of money you are paid back (i.e. refunded), the method used to be paid (Cash, Cheque, Card etc), and the destination bank account the refund will be paid into. In this situation you would create a Supplier Refund Document from the original Cash Purchase Document.

Refund a Credit

A not so common situation is where you want to convert an outstanding Supplier Credit note or credit balance to cash. You can convert a credit balance on a Credit Note to a Supplier Refund. You would do this when a Supplier had either underpaid you - you raise a Supplier Credit Note to adjust the Supplier's balance in the Accounts Payable (Purchase Ledger) and then receive payment for the amount of credit you have applied in cash. Or you had previously applied a Credit (issued a Supplier Credit Note) to the Supplier's account balance and you have decided that you would rather convert this to cash.

NOTE: Unlike a Customer Refund, a Supplier Refund Document is typically not issued to the Supplier. It is simply used to record the transaction. This ensures you have a record of the refund, and that your accounts are correct.

Prerequisites

Using salesorder.com the basics

Entering Line Items

Working with Transactional Documents

Working with Items

Creating a new Supplier Refund

See Creating new Transactions and Entering Line Items for the basic information. A Supplier Refund can be created directly from either a Cash Purchase, or alternatively from a Supplier Credit Note. In either case simply follow the usual procedure for creating a related Document detailed in Creating related Documents.

Related tasks and information

Configuring Transactional Documents

Entering Billing/Shipping addresses

Creating related Documents

Entering Payment Details

Working with Payments to Suppliers (Money Out)

Printing Documents

Working with Emails

Transaction Audit Trail

Working with Jobs

Working with Memos

Working with Classifications