At certain times, you may need to bill a vendor for a refund due to a mistaken overpayment to the vendor, or when an incorrect amount of goods are received after payment has been made. There are two ways for choosing the event type to be used on the Receivable (RE) transaction in this situation, depending on your entity’s business practices.
The two event types available for billing a vendor for a refund are:
Billed Vendor Refund - Budgetary Event Type AR30
Use this event type when you want to reduce expenditures immediately
at the time the receivable is processed.
Billed Vendor Refund - Non-budgetary Event Type AR31
Use this event type to credit the expected refund to a holding account.
Expenditures will continue to reflect the actual amount paid to the
vendor, and budget authority will not be freed up until the refund
is actually received.
You need to follow the general steps discussed in the "Create a Receivable" topic but you need to set the Event Type and Reference fields on the Accounting tab as detailed below:
Enter Event Type of AR30 or AR31
Enter Reference information if this vendor refund is in reference to an overpaid disbursement, or Accounting Template. Alternatively, complete the COA fields.
Related Topic(s):
For general information about editing or creating transactions, refer to the Transactions User Guide.