How to record a refund

Refunds shouldn't be treated as an income, it should be a deduction of an expense.

You should record this using the same accounts you used for the original purchase. Search in Accounting and then Journal for the original purchase and find the double entry bookkeeping.

The refund can be recorded using your bank feed by ticking the transaction where money was received. Then clicking on the Manual tab on the right of the page and then reverse the entries. e.g. if £50 was debited to 7520 on the first transaction this should now be credited.