Vendor Bill Credits

How do I write off bill credits for a particular vendor created from a ChargeBack Case.  We will not be applying the credits to future invoices and I want to remove them from the vendors balance.

Rookie Asked on July 22, 2022 in Accounting.
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1 Answer(s)


If I understand correctly you are looking to write off some outstanding vendor bill credits that are no longer applicable. You have options:

(1) Generate dummy vendor bills that offset the bill credits, apply them via a $0 vendor payment. This will give you the credit to AP needed to settle the vendor credits.  The debits would presumably align to the vendor credit for a net zero impact.

(2) Generate a journal entry to credit AP and debit whichever GL account you need to e.g. to reinstate the expense, post to a write off account, etc. then apply them via a $0 vendor payment.

There are alternatives, but I would recommend one of these options depending upon your internal processes.

I hope this helps!


Beginner Answered on July 22, 2022.

@tmann did this help? If so please mark as the best answer. If not, help me understand your use case further so I can assist. Thanks!

on July 24, 2022.

Great.  Thank you.  I ended up using option 1, generated dummy invoice and my vendor is now showing a zero balance.

on July 26, 2022.
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