Refunds for Payment Services orders are created in the Admin as part of the credit memo process. A credit memo is a document that shows the amount that is due to the customer, for a full or partial refund, which can be applied toward a purchase or refunded directly to the customer. Credit memos can only be issued for orders that are invoiced.
See Credit Memos in our core user guide for more information and to learn how to issue and print credit memos.
For orders processed with PayPal or a credit card you can:
See Issuing a Credit Memo in our core user guide for more information.
An error occurs for PayPal or credit card-processed orders if you attempt to partially refund an order for more than the remaining order amount (original amount minus the total of existing refunds), or if you issue a refund for an amount greater than the full order amount.
The Payment Action setting in your Payment Settings configuration—Either
Authorize and Capture—determines the basic refund workflow for orders.
See the Payment action setting section of Issuing a Credit Memo for more information.