Invoice Adjustments for Bad Debt, Discounts, Price Overrides, and Partial Refunds for Events

Occasionally, you may have to provide a manual price override, discount, partially refund an event, or due to non-payment, write-off a bad debt. 

  1. Below is an example of an event invoice that needs to be adjusted downward by $125.  This could be due to the need to provide a discount, write off a bad debt, override a price, etc.

  2. Invoices are adjusted by adding an undefined price product that allows for negative price adjustments to the event invoice as an upsell.  For example, you may create a product called "event bad debt" and/or "event discount" and/or "event price override" depending on which of these adjustments need to be made to your events.  The reports will report the revenue (or contra revenue) to the product name, product category, and accounting code of that undefined price product.   In this example, the name of this product is "Manual Adjustment".

  3. After that, add this product in the Up Sell tab in the Event Management > Assignment settings. Since the amount you refunded was taxable, make sure you set the appropriate tax setting on the upsell settings.

  4. Make sure that you only enable this on the employee's facing side of the system. Uncheck the box where it says "Show on Portal".

  5. Then, go back to the booked party and apply the negative amount needed to balance out the transaction. In the example below, the price adjustment is sales taxable, so we have made sure that a 7.5% tax is applied on the upsell.  The remaining balance is $125 and the Tax Rate is 7.5%. Here's how to calculate the amount needed for this example:

      • Upsell Amount = Balance Due / (1 + Sales Tax Rate)
      • Upsell Amount = $125 / (1 + 0.075)
      • Upsell Amount = $116.28
      • Convert it to Negative Value = -$116.28
  6. Once the price adjustment product (negative upsell) is added to the Customization tab of the booking, you will see that you balanced out the transaction for the party booking. Do not forget to click on the Save button at the top to save the changes in the party booking.

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