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hi this is Tim grant your five minute QuickBooks professor today talking about how to track customer returns we do this for a couple of reasons one we dont want the customer to claim that theyre going to be returning an item us to give them a credit and then the item not to show up that would be unfair the other reason is just the opposite if the customer does return an item and we dont properly credit their account that can hurt our customer relations so QuickBooks doesnt have a way of specifically tracking those returned items so what we do is use a modified credit memo let me show you how we do that we go to customers credit memos refunds and what Ive done is Ive set up another template for a return materials authorization its simply a form for tracking those returns and when you talk to the customer youre going to give them the credit memo number so that they can put it on their documentation and return it to your company but let me show you how I set that credit memo up it