Skip to main content
Documentation
Documentation
Administrator Guide
Last Updated: 2023-06-23
Steps: Set Up Supplier Refunds

Steps: Set Up Supplier Refunds

  • Configure the Unapplied Supplier Refunds account posting rule.
  • Configure the ID Generator for Supplier Refund prompt on the
    Edit Tenant Setup - Financials
     task.
  • Configure the
    Supplier Refund Event
     business process and security policy in the Supplier Accounts functional area.
  • Security: These domains in the Supplier Accounts functional area:
    • Process: Supplier Refund
    • Process: Supplier Refund – Add Attachment
    • Process: Supplier Refund – Cancel
    • Process: Supplier Refund – Change
    • Process: Supplier Refund – Reporting
    • Process: Supplier Refund – View
You can create and associate supplier refunds to supplier invoice adjustments, which clear negative balances due to a supplier. You can use supplier refunds along with ad hoc bank transactions to record unapplied refunds.
  1. Select the Supplier Refund category to configure custom validations for supplier refunds.
  2. Select the Unapplied Supplier Refunds ledger account.
  3. Access the
    Record Supplier Refund
     task.
    Apply a supplier refund to 1 or more approved and unpaid supplier invoice adjustments. For tracking, Workday recommends using the
    Deposit Reference
     field to associate an existing bank deposit and refund.
    You can't use supplier invoice adjustments that:
    • Are associated to a grant with an effective award line type, such as cost reimbursable, fixed, or prepaid.
    • Are part of a netting transaction during the application of the refund.
    • Contain lines with VAT on payment.
    • Contain lines with withholding tax set to payment realization.
    • Have a status of Not Matched.
    Security:
    Supplier Refund Event
     business process.
  4. (Optional) For 1099 MISC Suppliers, we recommend running the
    Find Supplier Refunds
     report to determine if a supplier invoice adjustment and a refund amount differ. If there's a difference in the amount, create a 1099 MISC adjustment.
When you approve a supplier refund, we:
  • Record an exchange gain and loss if the exchange rate differs between the invoice adjustment and the refund.
  • Debit Unapplied Supplier Refunds and credit Payables.
  • Generate worktag balancing journals.