Refunding an invoice (partial refund)

A partial refund lets you return money to the customer for some of the items on an invoice without refunding the entire sale. This is useful when the customer returns a few products or rejects part of a service. The system will adjust both the customer's balance and inventory records.

Before you start

• Permissions: You need the ability to create refunds. Your admin can grant this via Users & Roles → Groups → Your Role.
• The invoice: Must be finalized and not already completely refunded.
• Items to refund: Know which items the customer is returning and the quantities.
• Inventory tracking: If the items are tracked in inventory, stock will be added back when you create the refund.

Steps

1. Open Refunds or navigate to the invoice you want to refund. Open in Usystems

2. Click New Refund or select the invoice and choose Create Refund.

3. The system pre-fills the customer and original invoice details.

4. In the refund line items, select or enter only the items being returned. Enter the quantity for each.

5. Review the refund amount (the system calculates it automatically based on the items and quantities).

6. Add a reason or note (e.g., "Customer returned 2 units of Item A due to defect").

7. Click Save or Post to record the refund.

8. The customer's balance decreases by the refund amount, and returned inventory is added back to stock.

Accounting impact

A partial refund:

• Debits (reduces) the customer's account balance
• Credits (increases) revenue or a return account
• Adds inventory quantities back to the warehouse (if tracked)

Example: If you refund AFN 1,000 for 2 returned items:

• Customer account: −1,000 AFN (they owe you less)
• Revenue: −1,000 AFN (sale is partially reversed)
• Inventory: +2 units back on shelf

Tips & common mistakes

• Keep the reason clear: Always note why items are being returned (defect, wrong item, customer dissatisfaction) for audit purposes.
• Partial vs. full refund: A partial refund keeps the remainder of the invoice active. If the customer is returning everything, use Complete Refund instead.
• Double-check quantities: Make sure you refund only the items actually returned, not the whole invoice.