A purchase returns journal (also known as returns outwards journal/purchase debits daybook) is a prime entry book or a daybook which is used to record purchase returns. In other words, it is the journal which is used to record the goods which are returned to the suppliers. The source document which is used as an evidence in recording transactions into purchase returns journal is the Debit note.
Reasons for purchase returns Damages Expiration of products/outdated Different brands Out of the order My foundation one missing
Structure of a purchase returns journal
Structure without a VAT column DateDebit note noSuppliersValueL/P15/05/2020002Gomez Factors LTD$900
Double entry for purchase returns without VAT value Creditors a/c Debit (Account payable) - suppliers $600 Purchase returns a/c Credit - value $600
Structure with a VAT column DateDebit note noSuppliersValueVATTotal valueL/P04/01/2017002Rogers$600$50$650
Double entry for purchase returns with a VAT value Creditors a/c Debit - total value $ 650 Purchase returns a/c Credit - value $600 VAT a/c Credit - VAT $50
See also Purchase journal Bookkeeping Special journals
References