Process customer refunds through Accounts Payable

Processing customer refunds through AP centralizes outgoing payments while maintaining a connection between the customer refund, AP AP supplier invoice, and payment transaction for tracking and reporting purposes.

How customer refunds are processed

When a customer refund is created in Accounts Receivable, Sage Intacct automatically creates a linked AP AP supplier invoice. AP users can then review and approve the AP supplier invoice according to their organization's approval policies and process the refund payment through Accounts Payable.

The customer refund, AP AP supplier invoice, and payment transaction remain linked throughout the process for visibility and audit tracking.

Approval processing

Depending on your Accounts Payable configuration, suppliers and AP supplier invoices created from customer refunds can participate in approval workflows before payment is issued.

Supplier approvals

Suppliers automatically created from customer refunds can participate in standard supplier approval workflows.

Admins can configure Accounts Payable to skip supplier approvals for suppliers created automatically from customer refunds when approval review is not required. Existing suppliers linked to customers continue to follow the standard approval workflow.

AP supplier invoice approvals

AP supplier invoices created from customer refunds can participate in standard AP supplier invoice approval workflows. Admins can configure Accounts Payable to skip AP supplier invoice approvals for AP supplier invoices created from customer refunds.

AP supplier invoices created from customer refunds cannot be recalled after submission for approval.

Payment approvals continue to apply and cannot be skipped.