> For the complete documentation index, see [llms.txt](https://docs.rishvi.co.uk/linnworks/llms.txt). > Use it to discover all available pages before exploring further. # Returns and refunds The Sales app offers multiple ways to handle product returns. The correct method depends on whether the customer has already been invoiced. ## **Before invoicing** If a customer returns a product before an invoice is issued or confirmed, the return is handled using *Reverse Transfers*. **Note** The *Inventory* app must be installed to process returns using reverse transfers. To begin: 1. Open the **Sales** app. 2. Select the relevant sales order. 3. Click the **Delivery** smart button to access the related delivery order. A typical sales order with a highlighted delivery smart button in Odoo Sales. On the validated delivery order, click **Return**. A validated delivery order with a highlighted Return button in Odoo Sales. A **Reverse Transfer** window will appear. - The default quantities match what was delivered. - Adjust quantities if needed. - Remove items using the **🗑️ (trash)** icon. The Reverse Transfer pop-up window. Click **Return** to confirm. This creates a new warehouse operation for the returned items. Warehouse operation after a return has been confirmed in Odoo Sales. Once the returned goods are received, the warehouse team validates the operation by clicking **Validate**. After validation: - The **Delivered** quantity on the sales order is automatically updated. - It reflects the original delivery minus the returned items. Updated delivered quantity after return. When an invoice is later created, the customer is billed only for the products they kept. ## **After invoicing** If a return happens after the invoice has been issued or paid, additional steps are required. Since confirmed invoices cannot be modified, a combination of *Reverse Transfers* and *Credit Notes* must be used. Start by opening the relevant sales order in the **Sales** app. If a payment has already been registered: - Payment details will appear in the chatter. - The invoice will show a green **In Payment** status. Sample of a green in payment banner in Odoo Sales. ### **Step 1: Process the return** 1. Click the **Delivery** smart button. 2. Open the validated delivery order. 3. Click **Return**. Update product quantities as needed, then confirm by clicking **Return**. This creates a return operation, which must be validated by the warehouse team once items are received. After validation, the **Delivered** quantities on the sales order are updated accordingly. ### **Step 2: Issue a refund** To refund the customer: 1. Open the invoice using the **Invoices** smart button. 2. Click **Credit Note**. A typical customer invoice with a Credit Note button highlighted in Odoo Sales. This opens the credit note form. Typical credit note pop-up form. Fill in the required details: - **Reason displayed on Credit Note** - **Journal** - **Reversal Date** Then choose one of the following: - **Reverse**: create a credit note only - **Reverse and Create Invoice**: create a credit note and a new draft invoice Make any necessary adjustments, then click **Confirm**. Once completed, a notification appears indicating that available credits can be applied to settle outstanding invoices.