NetSuite: Writing Off Returned / Damaged Items
Published on May 22, 2019
When you're receiving items that have been returned against a return authorization, you might run into a situation where a product is damaged and cannot be resold. In that case, you will not want to restock them. To indicate this, uncheck the "Restock?" value for that item.
However, this option will only be available if you've specified a "write-off account." If you try to uncheck the Restock field without having a write-off account in place, a dialog will appear, similar to the one shown here...
To setup a write-off account, navigate to: Setup > Accounting > Accounting Preferences. Click on the Order Management tab, and scroll down to the Returns area. Then choose an account for the "Write-Off Account For Returns" option. The form will look like this...
Once you've specified a write-off account, the "Restock" checkbox will be clickable.
If you choose not to restock a returned item, the return does not have an impact on inventory. However, it will impact the general ledger, hitting the write-off account as a loss.