Concept: Customer Refunds

When you receive a payment for an already paid invoice, you can place it fully on-account. When you receive a refund request from the customer, you can access the

Create Customer Refund

task to process the refund. The payment that the customer has on account displays as an option for sourcing the refund.

You might have a customer who paid in full for an order, but then requires a refund because of an issue with an order.

Example: The customer receives and pays for 1000 chairs. Upon inspecting the entire order, the customer discovers damage to some of the chairs and submits a refund request. You can then access the

Create Adjustment

task from the related actions menu of the customer invoice to begin the refund process.

Once you create a refund, you can process it with the

Create Settlement Run

task. The Workday settlement engine creates the accounting for the refund, and enables you to print and send out a refund check. When you refund a direct debit payment, the settlement engine creates both the deposit and the payment. For credit card refunds, the settlement engine creates the deposit and payment through Cybersource.

When you settle intercompany transactions originating from customer refund payments processed by the settlement company on behalf of its affiliate company, you can view these details on the

Intercompany

tab of the customer refunds journal: