Refunding to Gift Cards

Refunding purchases to a gift card can be done on all transactions, including those made from a gift card. In this article, we will walk through the steps on how to refund transactions to a gift card.

Things to know: 

• The ability to edit a ticket is controlled by the "Edit/Refund Closed Tickets" access control 
• When issuing a refund to gift cards, you can choose to refund to an existing gift card, create a new gift card for the client, or apply the refund to another client's gift card.

CONTENTS

• Configure the "Refund to Gift Card" Setting
• Refunding to Gift Cards
• How Refunds to Gift Cards Affect Reports

Configure the "Refund to Gift Card" Setting

1. Navigate to Business Setup > Settings
2. Locate the "Enable Refund to Gift Card" setting in the POS section                                                            
3. Toggle to 'Yes'
4. Save changes at the bottom of the settings page

Refunding to Gift Cards

To refund a transaction to a gift card:     

1. Navigate to POS > Closed Tickets 
2. Search for the desired ticket number and select it
3. When the ticket opens select the Refund button
4. You can decide to refund all items or just specific items. You can also refund the entire amount or do a partial refund
5. To refund a specific item, check the box next to the item you want to be refunded. You can also select a refund reason if configured in Business Setup > Settings 
6. Tap the Next button
7. To refund to a gift card, select the "Refund To Gift Card" hyperlink
8. On the Refund Balance To Gift Card modal, enter the following details:
   • Recipient: Enter the name, email address, or phone number of the client who should receive the gift card. This can be the client from the ticket, another client existing, or a new client
   • Amount to Refund: This will be auto-filled based on what was selected on the Refund page
   • Gift Card #: Choose between "Assign New Automatically", "Enter A Card Number / Swipe," or an existing gift card  
     • Assign New Automatically: When the refund is finalized, a new gift card number will be generated 
     • Enter a Card Number / Swipe: You will be able to enter an existing gift card number into the Gift Card # section to process the refund to 
     • If an existing client with a gift card is selected in the recipient section, their gift card number will appear in the Gift Card # dropdown menu                                                                 
9. Click the "Refund $ amount" button 
10. Click "Done" on the confirmation modal                                                                                                                                             

How Refunds to Gift Cards Affect Reports

Daily Revenue & Client Revenue Reports:

Refunds issued to gift cards will be shown in the Gift Card and Refund columns on the date the refund is processed, but they will not impact the Net Revenue.

Refunds for services made to gift cards will display two line items in the report. 

• The first line item will reflect the refunded value in the Gift Card, Gross Revenue and Net Revenue columns
• The second line item will reflect the refunded value in the Refund column and then deduct it from the Net Revenue column 

Example:

If the $40 service refund is issued to a gift card:

• First Line Item:
  • Gift Card column: Shows $40 (amount added to the gift card)
  • Gross Revenue column: Shows $40 
  • Net Revenue column: $40
• Second Line Item:
  • Refund column: Shows $40 (amount refunded) 
  • Net Revenue column: -$40 
    

Refunds for products issued to gift cards will appear once in the report. The refunded amount will be reflected in the Gift Card, Gross Revenue, and Refund columns, but there will be no entry in the Net Revenue column.

Example:

If a $30 product refund is issued to a gift card:

• Gift Card column: Shows $30 (amount added to the gift card).
• Gross Revenue column: Shows $30 (gift card revenue recorded).
• Refund column: Shows $30 (amount refunded).
• Net Revenue column: No value displayed (net revenue remains unchanged). 

If a refund issued to a gift card includes taxes, the total amount (including tax) will be reflected in the Gift Card column, while the amount exclusive of tax will be shown in the Refund column. As a result, the remaining tax amount will appear in the Net Revenue column as revenue.

Example:

If a $44 refund (including $4 tax) is issued to a gift card:

• Gift Card column: Shows $44 (full refunded amount).
• Refund column: Shows $40 (excluding tax).
• Net Revenue column: Shows $4 (remaining tax amount recognized as revenue).

Royalty Report:

Refunds will be reflected in the Gift Card and Refund columns. If the refund includes taxes, the value inclusive of tax will be reflected in the gift card column, but the value exclusive of tax will be displayed in the refund column.

Gift Card Activity & Gift Card Balance Reports:

Refunds are recorded in the reports as a new purchase and will reflect the current balance and activity of the gift cards.

For more information contact us at support@mytime.com.            

Related Articles:

Editing Closed Tickets

Refunding Gift Cards

Refunding Products

Refunding Appointments