Returning restricted funds

Kathie · Post by **Kathie** » Mon Jul 09, 2007 5:01 pm

We purchased some items for our capital improvement project. The funds were charged against the Capital Improvement Account and released from the corresponding temp. restricted account when the purchase was posted. One of the items on the receipt was returned to the store. How do I return that part of the released funds to the restricted account?

This item was originally charged to a credit card and when returned, was debited to the credit card and credited to the Capital Improvement Income account. My reports are showing up with that amount still released.

I think brain-freeze has set in. I know this is simpler than I'm making it out to be!

Matt · Post by **Matt** » Mon Jul 09, 2007 10:45 pm

To return the funds to the restricted account input an accounting adjustment in Fund Accounting that debits the Released From Restriction account (4999) and credits the appropriate Temp. Restricted Release account.