I am trying to issue a partial refund to a client can you talk me through it?

I'd be glad to walk you through the process of issuing a partial refund to your client, Lara.

If the payment was processed via QuickBooks Payments linked to QuickBooks Self-Employed (QBSE), you can issue a partial refund through the QuickBooks Payments Merchant Service Center. However, please note that this is only possible for transactions less than six months old.

Here's how:

1. Sign in to your QuickBooks Payments account.
2. From the Processing Tools drop-down, select Reverse a Transaction.
   
3. Fill out the necessary fields and click Search.
4. Select the transaction you want to refund.
5. Manually type in the amount you want to refund in the Amount field, then click Submit.
6. A new message will appear. Select Cancel to submit a different amount. You'll then be prompted to input the partial refund amount. Click Continue.
7. A receipt of the transaction will be displayed on the screen. Choose either E-mail or Print to get a copy of it.

For more details about this process, refer to this article: Void or refund transactions in QuickBooks Payments.

On the other hand, for transactions more than six months old or that weren't processed through QB Payments, you'll need to handle the partial refund outside of QBSE using cash, check, or bank transfer. After that, record it in QBSE as an expense. Be sure to add a note or memo indicating this is a partial refund to a specific customer for reference.

Once done, you can use this resource to guide you in organizing your income and expenses accurately: Categorize transactions in QBSE.

Feel free to leave a reply in the comment section below if you have additional queries.