Retail
Store Credit Balance Issued to Customer
Issuing a store credit note to a customer instead of a cash refund.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Sales Returns & Allowances | Contra-Revenue (+) | 100.00 | - |
| VAT Output Tax Payable (16%) | Liability (-) | 16.00 | - |
| Store Credit Liability | Liability (+) | - | 116.00 |
💡 Accountant's Note
A store credit is a liability — the store owes the customer merchandise or services. Revenue is reversed and the credit balance is held until the customer spends it.
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