Creating returns and refunds

Depending on your return policy, you might need to create returns for customers to return purchased items and refund a customer's payment. By refunding orders in a prompt and professional way, you show your commitment to customer service and might encourage the customer to order again in the future.

From your Shopify admin you can create and manage your returns, send shipping instructions and return labels to your customer, track the returned items, restock inspected items, and refund payments to your customers.

Creating a return for an order

You can create a return for an order to help manage items that your customer wants to return. After you create a return, you can send any return shipping information to your customer and track the return. Use the Orders page to manage all of your returns by filtering on the return status.

After you receive and inspect the returned items, you can issue a refund, and restock applicable items.

You can't cancel returns.

Create a return

You can create a return from an existing order that has at least one fulfilled line item that has not yet been refunded. If no line items have been fulfilled, then you should refund and restock the order instead. If your order has been archived, it must be unarchived before you can create the return.

Steps:

  1. From your Shopify admin, go to Orders.

  2. Click the order that you want to refund.

  3. Click Return items. If the order is archived, then you're prompted to unarchive the order before proceeding.

  4. Enter the quantity of items in the order that are being returned.

  5. In the Return shipping options section, select one of the following options:

    • Select Create return label to create a return shipping label for your customer. This option is only available if your primary location and customer shipping address are both set and in the US.
    • Select Enter tracking information and enter the Tracking number and Shipping carrier if you have this information.
    • Select No return shipping to create a return without any return shipping information.
  6. Click Create return.

    If you choose to create a return label, you're prompted to create and send the label. For instructions, refer to Creating and sending return labels.

Filter orders by return status

You can filter the orders on your Orders page by return status.

Steps:

  1. From your Shopify admin, go to Orders.

  2. Click the Open tab to display all open orders.

  3. Click More filters.

  4. Click Return status.

  5. Select from Return in progress and Returned to display the returned orders.

Refunding an order

When you refund an order, you send payment back to the customer. You can refund an entire order or only part of an order. You can also refund an order without creating a return, but you can't create a return after a refund has been issued. In some circumstances, you can cancel an order and issue a refund.

As part of the refund process, you have the option to restock the items and to send a notification email to the customer. If there is no payment to refund, you can restock the items from the order.

If you're using Shopify Payments and you issue a refund, then the amount is deducted from your next available payout.

If you're using Shopify Payments and your payout doesn't have enough funds for a return, then there are different outcomes depending on where you are located. For stores located in:

  • Austria, Denmark, Germany, Hong Kong, Ireland, Italy, Netherlands, Singapore, Spain, Sweden, New Zealand, and the United Kingdom, the remainder of the refund is deducted from the next payout until the refunded amount is covered.

  • United States, Canada, and Australia, the balance is debited from your bank account on the day of the payout.

A refund takes up to 10 business days to be credited back to your customer.

If a negative balance payout fails, then the payout is tried again in 3 business days. For more information about issuing refunds with Shopify Payments, refer to the Shopify Payments FAQ.

If you refund an order to store credit by using Shopify POS, then you can refund the amount to the original payment method later on. For more information about Shopify POS, refer to Point of sale.

If your Shopify Payments account displays a negative balance, then you might not be able to issue a refund. Refunds are listed as Pending until you have made enough sales to have a positive balance in your Shopify Payments account, and then you can successfully issue a refund.

Refund an entire order

You can issue a full refund for all items in an order.

Steps:

Refund part of an order

You can issue a partial refund for specific items in an order. You can then issue additional partial refunds until you've reached the total available to refund, which is the original amount of the order.

If a customer made a purchase using a gift card and another method of payment, then when you perform a partial refund, the refund is applied to the gift card first, until it reaches the full amount available for refund. Then rest of the refund is applied to the other payment methods. You can adjust the refund amounts manually for each payment method up to the amount that is available for each payment method. For example, if a partial refund amount of $50 is applied to the gift card, but you can apply up to $20 to a credit card, then you could split the refund by applying $30 to the gift card, and $20 to the credit card.

Steps:

Restock an order

If there is no payment to refund for an order, you can restock the items without creating a return or a refund.

Steps:

  1. From your Shopify admin, go to Orders.

  2. Click the order that you want to restock.

  3. Click Restock.

  4. Enter the quantity of items in the order to restock.

  5. Click Restock items.

Mark order as returned

After you have created a return, received the items from the customer and refunded the payment, the order is complete. If you choose to restock the items as part of the refund, then the order is closed automatically. If you did not restock the items, then you can mark the order as returned after you receive the items from the customer.

Steps:

  1. From your Shopify admin, go to Orders.

  2. Click the order that you want to mark as returned.

  3. Click Mark as returned.

Review an order's transaction history

The detailed transaction history for the order is displayed in the Timeline section of an order's overview page and includes returns, refunds, and restocking information.

Steps:

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