Tenant Pays for an Item and Needs Refunding

Arthur Only Users

You will need to create two Transactions. These will need to be two of the same transactions, one positive amount and the other negative, i.e £150 & -£150. This will ensure the tenant statement is balanced out at £0.00, meaning neither you nor the tenant owe each other money.

The following article “How to Create Credit Note” details how to deal with this scenario. Note: Direct Rent is used in the example. You may use which ever charge you please for your scenario depending on what it is you are refunding the tenant for.

Xero Users

You will create one Transaction. This will be a negative charge, i.e -£125. You will then make a cash refund in Xero which will then allow you to reconcile the refund to the tenant against you the spent item in your bank feed.

The following article “How to Refund with Xero” details how to deal with this scenario. Note: Direct Rent/Rent Charge is used in the example. You may use which ever charge you please for your scenario depending on what it is you are refunding the tenant for.

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