Reimbursement to a customer who overpaid

Hi @wale,

Yes, an issue has been opened by @DBoobis a couple of days ago:

Thanks!

Kind regards,

Is the problem solved ؟

Depends on what you mean by “solved”. The Frappe team would advise to use the “return” functionality of the sales invoice (which allows for partial returns). The alternative is to make a journal entry, which might not be appropriate for the staff member in question. The application I’ve linked to below assumes that there is a sales staff that can create a Credit Memo.

Hi,
We have a similar problem: our clients purchase stock and we issue sales invoice, the invoice is then paid and closed (with the payment entry it appears with status Paid in green), then some part of the stock is returned to us and we issue credit note to the invoice related to this purchase. It is essential that the credit note is linked to its related invoice in the system because it is required by the local legislation.The customer then buys stock again and we issue the next sales invoice. However the payment that we receive is for the amount of the second invoice and the credit note related to the first invoice NET.
How is it possible to link the second payment to the second invoice and the credit note?
My objective is to show that all balances are closed and that the credit note is linked to the first invoice and that the second payment closes the second invoice together with the credit note in order to have a reliable trade receivables report (for aging analysis).
I tried to do use JE but I am not able to change the status of the invoices to Paid with it.
What is your solution to using sales returns as a deduction on the next sales invoices to the same customer?

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I tried this in V.9, it allows partial returns (refunds) but the whole original invoice is than flaged with “Credit not Issued”. But it is still in the background journal or does it have any other consequences in the background to refund a partial amount?

Can’t speak to V9 since I haven’t used it in about a year. The latest is a standalone Credit Memo in V11, part of the core, but I haven’t tried it out.

Hi All

I faced the same problem with over-payment from customer and after reading your discussion and did some trials I found two ways:

Solution (1):
Sipmply you make JV for repayment excess received amount with JV without linking Old reference. problem with this solution is that, the GL Report shows ZERO customer balance with is right, but AR report still shows both transactions with total Zero which is not preferred to us at all, we need CLEAR AR report for all ZERO Accounts.

Solution 2:
To get clear AR report for ZERO accounts you need to Workaround making the following steps:

  1. Use JV Entry and for both Inoice Payment and Overpaid amount use “Is Advance” Option “Same JV Entry”
  2. Create Dummy Service Item “Not Stock”
  3. Create Dummy Sales Invoice with the DUMMY ITEM “Qty is 1”, Price and Total Amount to be equal to OVERPAIED AMOUNT.
  4. Link Advance in the first JV in “Step 1” from GET ADVANCES and Then Submit the DUMMY INVOICE.
  5. MAKE CREDIT NOTE using Invoice Return from the DUMMY INVOICE and Submit the Credit Note.
  6. Refund amount to Customer using JV ENTRY and Link it with The reference Previous Credit Note/Return Sales Invoice and Submit.

This was very good solution and works fine although we think it should be simpler and standard

Now we got our goal, CLEAR AR Report.

Hope it will be helpful.

Has a “repay excess account balance” like feature been introduced yet?
This is a much needed one and quite a basic requirement.

Here’s another solution:
If the customer has say 10,000 in his account as balance, create a JV entry for 10,000 that debits the customer. Then go to the payment reconciliation tool, select the customer and reconcile the outstanding in the original payment entry with the JV entry you just created.
Accounts Receivable goes to 0 as well as the get advances button in sales invoice doesn’t pull anything.

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