Refund to customer due to bounced check

dkgarden

Dear all,

Question here. Process as below....

1. Received payment from customer for downpayment...

In Sales Journal, Document type as PAYMENT, Debit Bank and Credit Customer (Customer has negative balance now)

2. The check was bounced hence we need to debit back the customer. Can we use REFUND document type so that we can Debit back the Customer and Credit back the Bank? or we should use the INVOICE document type instead of the REFUND?

Thanks,

dkgarden

chengalasettyvsrao

Make sure the document type as Refund and select the Applies to Doc Type = Payment and Applies to Doc No(Against which payment entry customer refund the money)