Working with Sales Return Orders

Create and post sales return orders, including receipts and credit documents.

Use Bevica Sales Return Orders to record and manage your customers' stock returns. This article goes through the process of creating and completing a basic sales return order. Purely financial credits can be credited and posted using Sales Credit Memos.

Before you start

• Working knowledge of Customers, Items, and Locations.
• Working knowledge of Sales Orders.

Training outcomes

Validate your learning using:

• ​Return Orders and Transfer Orders Training Outcomes​

Create a sales return order

Sales Return Orders are typically created from the Sales Return Order List or an existing Sales Return Order, but can be created from the Customer Card/List and some Role Centres.

Unless created from the Customer Card where the Customer No. is selected automatically, clicking New will present you with a blank Sales Return Order page. The cursor rests on the Customer No. field, then select the customer by either typing its name or using the lookup and searching. Once found, the sales return order is given its unique number and Bevica populates the order with default information from the Customer card; e.g. Sell-to address details, Location Code, Salesperson Code, Currency Code.

Amend the Ship-to Code so that it is the same as the order you are returning.

Any information can be changed if necessary.

To process any Duty Free sales document you must first create a Ship-to Address set to Duty Free with the appropriate additional HMRC details.

The following date fields can be used to help manage the sales return order process:

Field Name	Field Purpose	Note
Posting Date	Defaults to today's date when the order is created	Will become the Invoice date when the order is Shipped and Invoiced.
Document Date	Defaults to today's date when the order is created	Is used to calculate the Due Date.
Order Date	Defaults to today's date when the order is created.	This date is used to find and calculate prices.
Due Date	Is calculated using the 'Document Date' date and 'Payment Terms Code'.

It is not necessary to populate or maintain all these fields, typically just Posting Date is manually changed at this stage.

Other useful Sales Return Order fields:

Field Name	Field Purpose	Note
External Document No.	Use this field to record your Customers Return reference.
Applies-to Doc Type (Invoicing FastTab)	Use to apply the credit to the original invoice on posting the return order.	Set this to 'Invoice'
Applies-to Doc No. (Invoicing FastTab)	Use to apply the credit to the original invoice on posting the return order.	Select the invoice number you would like the credit memo to be applied to when the return order is posted. If this is not populated you will need to apply the credit from the customer ledger entries page. Note that you can only apply the return order to an invoice which hasn't already been applied.

Add sales return order lines

There are a number of ways you can populate the item lines on the return order.

Get Posted Document Lines to Reverse. You can find this in the ribbon under Process. You are able to select from posted shipments or posted invoices. Enlarge the screen to see quantities ordered and already returned. Highlight the line/s you'd like to add to the sales return order and click on OK. You can delete lines and/or amend quantities or other fields once they have been added to the sales return order.

Add lines manually. You can manually add item lines but there are no system checks to make sure the line you are entering is an item they have ordered. You can create lines with a different 'Type' of line. The most used options are:

Option	Option Purpose	Note
Comment	Allows you to enter free text that appears on the sales order document.
G/L Account	For a misc. financial value.	On Invoicing posts directly to the G/L account
Item	Lets you select an item code to impact quantities in inventory.
Resource	For a misc. financial value.	On Invoicing posts using the posting setup on the Resource card.

Note

The process of returning/crediting Paid Reserves is different. See Fine Wine / Paid Reserves.

Warning

If you change the Unit of Measure on the sales return order line, for example from cases to bottles, you will need to amend the Unit Price manually.

Return reason codes

You can populate a return reason code on each item line of the return order. This field has the following purposes:

1. Reporting - the Return Reason Code is transferred to the resulting item ledger entries.
2. Changing Location code - each Return Reason Code can have a Default Location Code. If this is populated the location code on the return order line will be switched to this value. For example, you may have a returns location where you inspect the returns before they go back into the main location for resale.
3. Automatic Negative Adjustment - if this field is ticked, when the return order is posted, a negative adjustment will also be posted to take the item out of stock. Use a return reason code with this field ticked when processing returns orders for breakages, for example, when the goods won't actually be returned. Note that you cannot use a return reason code with automatic negative adjustment ticked if the location code on the sales return line has Bin Mandatory ticked. You will need to manually post journals to remove the item/s from stock.

See Return Orders and Transfer Orders Training Outcomes for return reason examples.

Additional charges

It is possible to add additional charges to a sales return order. These will create and post item charge value entries when the return order is posted as received. The value entries posted will increase the cost of the stock being returned, which will result in an increased cost of sales when the stock is sold.

Default additional charges are added to both sales orders and sales return orders. If you do not want additional charges posted as part of the sales return, after you have released the sales return order delete the additional charges created manually.

Release the return order

When you have finished entering the return order you release the order by selecting the Release option on the order ribbon. Many fields on the sales return order cannot be amended whilst the order is at Released status.

As part of releasing the sales return order, Bevica will check for decimal quantities on item lines. An error will be displayed if a decimal quantity has been used on an item line for a unit of measure which is not ticked as Disable Item Qty. Decimal Check.

Reopen and amend a released return order

Any return order can be amended multiple times prior to receiving and invoicing its lines. To amend a Released return order you open the return order by selecting Reopen on the ribbon in the Release section. This sets the Status field to Open.

Post the return order (receive and invoice)

Sales return orders can be Received and Invoiced (credited) as one operation or separately. The Location Code on the Return Order determines the process necessary to post the return order. One of the following options will apply:

• The order can be posted from the Sales Order.

  On the sales return order ribbon click Posting. Select the appropriate option and OK. This is typically used for basic or third-party warehouses.
• The Order can be posted via an Inventory Pick.

  Where the Location has been set up with Inventory Warehousing, i.e., the warehouse is managed directly by us with bins, we need to create a separate document to confirm where the stock has been taken from. On the order ribbon, Actions tab, Warehouse section click Create Inventory Put-away/Pick.

  On the report request form that appears tick Create Invt. Put Away then OK. This creates a Warehouse Inventory Put Away transaction that now needs to be registered. This is typically used for simpler storerooms/warehouses where bins are used.

In all cases, it is recommended that sales return orders are not part received/invoiced. Any remaining quantities are removed from the original return order and added to a new return order if necessary.

Posted sales return receipt

When a Sales return order is received it creates a Posted Return Receipt. This is an archive of the sales return order at the point it was received. From this document's page, select Find Entries on the ribbon to see what other records Bevica has created. Most commonly: Item Ledger Entries' and 'G/L Entries.

Sales order archives

At any point in the lifecycle of a sales document, it can be archived. This takes a snapshot of the current state of the return order and saves it for reference.

A sales return order can be manually archived at any point using the Archive button on the order ribbon, Actions, Functions.

A sales return order can be automatically archived on deletion by setting the appropriate fields in Sales & Receivables Setup, Archive fasttab.

See more information here How to Archive documents

Change the location of returned goods

If you need to change the location of stock which has been returned, for example, if an incorrect location was used on the return order, or the return order was processed into a returns location, you can create and process a transfer order.

Change the duty status of returned goods

The sales return order needs to be created with the same duty status as the original sales order.

If you need to change the duty status of stock once the return order has been processed, create and post a reclassification journal. See the reclassification journal section of Processing Duty Transactions.