Step 4 - Control Accounts - Store Credit Expense


This General Ledger Account is used to record the expense for store credits which have been manually added to a Customer Record in Blackpurl.  This account type is typically set up as either a Cost of Goods Sold or an Expense account.

An example would be - a Customer was accidentally overcharged on a Customer Order but no parts are being returned.  The Dealership still needs to give the overpayment back to the Customer so they would add it as a Store Credit directly on the Customer Record 

 The Dealership would create a Store Credit against the Customer Record - see this article on how this is done How to process a Store Credit on a Customer Record / How to Report on Store Credits

See below for a manually created Store Credit in Blackpurl 


 

This is the relevant journal entries it would post to your accounting package:


Debit - Store Credit Expense General Ledger 

Credit - Store Credit Liability General Ledger 



When the Store Credit is subsequently used in Blackpurl, the journal will not clear out the Store Credit Expense General Ledger (remembering you are expensing this store credit off for an overpayment) and the journal entry will be:


Debit - Store Credit Liability General Ledger 

Credit - Customer Deposit