To reverse an Accounts Receivable Cash Receipts Payment, you must use the Cash Receipts Data Entry screen on the Cash Receipts Menu. A payment would only need to be reversed if the original payment was applied to the wrong customer’s account, a returned check, etc. Following are the step by step instructions:

Enter deposit date -> Select type of deposit code (cash, check, credit card)
The deposit amount must be entered as a negative number (-150.00)

Type the customer code or ? to insert a customer from the display window and enter the check number to reverse

Notes:

If the check number is not known, you can use the word REVERSE.

You can use the ABA number field as a memo field (Perhaps an explanation of why you are reversing the payment or leave blank)

The debit cash amount must be entered as a negative number

Select the invoice(s) number you want to reverse, bypass the discount field unless there was a discount taken when the payment was posted

The invoice amount must also be entered as a negative amount