A few setups are involved before processing any Vendor Credit Card Refunds.
Create a new G/L Account
Create a new G/L Account that will be used for moving the credit from the source vendor to the credit card vendor. If the process is completed correctly, this G/L Account will always have a zero balance.
Open the Vendor record where the credit memo resides.
- On the vendor tree, click on Bills, right-click, and select new bill.
- In the Reference #field, you may type in something like Refund transfer to AMEX.
- In the Amount field, enter the amount of the credit memo.
- On the Expense tab, use the GL Account you created on the previous page and enter the amount in the rate field.
- Click save when finished.
- Next, we will apply the credit memo to the bill we just created. On the vendor tree, highlight Credits, right-click and select Apply Credits.
The Pay Bills form will be displayed.
- Click on the Vendor Credits tab and check the box to the left of the credit we will be applying to the bill.
- Click on the Vendor Bills tab and check the box to the left of the bill created in steps 1 through 5 above. The total amount at the bottom of the form should be zero.
- Click on the Save button.
Open your credit card Vendor.
- On the vendor tree, click on Credits, right-click and select new credit.
- In the Reference #field, you may type in something like Refund from Images Direct.
- In the Amount field, enter the amount of the credit card credit from your vendor.
- On the Expense tab, use the GL Account you created on the setup page, and enter the amount in the rate field.
- Click save when finished.
If all steps in this process were followed, when viewing the account register for your new GL Account for transferring credits, the balance should be zero.
