The refund could be for:

• A customer you haven't sent an invoice or credit note
• A cash sale or a sale that's not to a regular customer

You can’t use Sales Other Payments when dealing with cross-border transactions.

We set up ledger accounts you can only select for certain types of transactions. This is to help reduce errors. For example, you might only want to be able to select a sales ledger account on receipts.

We also normally only allow you to choose a customer when recording money in.

Using the refund option allows you to:

• Create a money-out transaction for a customer
• Select a sales ledger account for the refund. This means you won't need to change visibility setting on the ledger account first

Record money out for a cash refund

1. From Banking, choose the relevant bank account.
2. Select New, then Purchase / Payment.
3. Choose Other Payment, then Enter a refund for a sale link.
4. Enter the details of the transaction you want to refund. 
5. You must specify the:
   • Bank Account
   • Date Received
   • Amount Received
   • Ledger Account
   • Details
   • VAT rate and VAT, if applicable
6. If the refund was for several items relating to different ledger accounts, or different VAT rates, enter these on separate lines.
   Don't forget, the total value of all the separate lines must add up to the total value of the refund.
7. Choose Save.

You’ve successfully recorded your payment. It appears on the list of transactions for the relevant bank account.