When you issue a customer refund, you must apply that refund to the original credit memo to clear both transactions from the ledger. Do the following:
- From the Tasks menu select Receive Money.
- Enter or select the customer ID.
- Both the credit memo and refund check appear in the line-item list of the Apply to Invoices tab.
- Select the Pay check box for both transactions.
- Enter a reference number for the receipt in the Check/Reference No. field, and select Save. This will clear both the credit memo and refund check from the Customer Ledger.