Store Credit and Bonuses

Updated 11 November 2026

Overview

This article explains store credit as a return outcome. Store credit pays the shopper in something they can only spend with you. ReturnZen issues it as a Shopify gift card, or as native Shopify store credit when that setting is on, and can add a bonus on top to make credit more attractive than a refund. It covers the two instruments, the bonus rule, changing the method after submit, and sales tax. The settings are described in Store credit (General settings) and Store Credit (policy card).

Use the menu on the left to quickly navigate this article.

Before you start

• A return policy with the Store credit card switched on under Policy > Return Policies, the Return outcomes tab.
• For native store credit, the store credit permissions on your Shopify custom app. The Shopify page under Tools > Integrations flags a store missing them.

Store Credit and Bonuses

Where it is set

In the admin, go to Policy > General, Store credit.

• Store credit type: Gift card issues a Shopify gift card the shopper uses at checkout. Store credit adds the amount to the shopper's Shopify account with nothing to type. Set once for the whole store.
• "Most popular" tag: shows a Most popular chip next to Store credit in the shopper's credit option picker, on store credit with bonus credit, without it, or both.

In the admin, go to Policy > Return Policies, open a policy, Return outcomes, the Store credit card.

• Fee or incentive: Handling fees deducts a fee from the store credit amount; Bonus credit adds extra credit on top of the shopper's return value, as a Flat rate or a Percentage.

Screenshot

Policy > General, the Store credit card with Store credit type and the Most popular tag

How it works

Gift card versus native store credit. With Gift card, the shopper receives a gift card code by email when the return is processed, and the return page links to it with View gift card details. With Store credit, the amount is added to the shopper's Shopify account. If native credit cannot be issued, ReturnZen issues a gift card instead and the timeline says so: A gift card was issued because native store credit could not be.

The timeline names the instrument. On the return page the history reads Credit is added directly to the customer's Shopify account for native store credit, or a gift card line with the card's code. The Return summary total is labelled Credit total, to store credit, or Gift card total, to gift card, to match.

The bonus rule. A bonus on store credit, Shop Now or Shop Later is a discount, never cash. It is only ever paid as credit, it is dropped from any leftover that is refunded, and a percentage bonus is a percentage of the credit the shopper receives, so 20 percent means 20 percent. A workflow can raise a bonus with Set store credit incentive or Set Shop Now bonus credit, or remove it with Disable bonus credit.

A worked example. A 60.00 hoodie returned for store credit with a 10 percent bonus is credited 66.00 plus the tax paid on it. Returned for a refund it pays 60.00 plus tax and no bonus.

Sales tax. Store credit carries the sales tax paid on the returned goods. The one exception is a store credit unit returned beside an exchange unit: its gift card carries the goods value and not the tax.

Changing the method after submit. While a refund or store credit return is still open, Edit beside the total on the return page opens Refund method, with Original payment method and Gift card (or Store credit) side by side, each with its amount. The credit choice reads Includes X bonus credit when a bonus applies, and the refund choice reads No bonus credit is paid on a refund. Click Save Refund Method. A return you create by hand has an Exclude bonus credit override.

Important: A gift card is a liability on your books until it is spent, so treat a large bonus as a cost, not a saving.

What the shopper sees

1. On the review page, Store credit as a credit option, with Bonus credit shown as extra value and the Most popular chip if you turned it on. The card's description reads Receive a gift card code via email once your return has been approved whichever store credit type is set.
2. The summary is titled Total estimated gift card or Total estimated credit to match the type.
3. After processing, an email with the gift card code, or a note that credit was added to their account.

Screenshot

The review page credit options with Store credit, its bonus and the Most popular chip

The Store credit card under Policy > General

This section covers the Store credit card on the Policy > General page. Store credit keeps revenue in your store and lets shoppers spend it on future purchases. This card decides what kind of credit is issued, what is written in the note on each gift card, and whether store credit carries a Most popular chip in the portal. Whether store credit is offered, and any fee or bonus on it, is set per policy on its Store credit card, see Store Credit (policy card).

Before you start: A return policy with the Store credit outcome on. For native store credit, the store credit permissions on your Shopify custom app. See Connecting your Shopify store.

Settings

In the admin, go to Policy > General > Store credit.

• Store credit type: Store credit issues store credit that shoppers can use on future purchases, added to their Shopify customer account. Gift card issues a Shopify gift card that shoppers can use at checkout. Default: Gift card.

  Note: Each return policy shows this choice read-only on its Store credit card, with the line Set for your whole store. To change how credit is issued, open your store credit settings. and an Open settings link back to this card.

• Customize Shopify gift card notes: shown only when the type is Gift card. Tick what the gift card's note in Shopify shows. The boxes, with their defaults: Generated by ReturnZen (on), Customer email (off), Originating Shopify order name (on), Gift card amount (off), Originating Shopify order ID (off), Return SKUs (on), Return ID (on), Bonus credit issued (off). Your ticks are kept if you switch to Store credit and back.

• "Most popular" tag: shows a Most popular chip next to Store credit in the shopper's credit option picker. Default: off. Two boxes choose where it appears: Show on store credit with bonus credit (ticked by default once the tag is on) and Show on store credit without bonus credit (off). The chip colour is picked under Shopper > Portal Customization, Global styles, "Most popular" tag color.

Screenshot

Policy > General, the Store credit card with Gift card selected, the gift card note boxes and the Most popular tag with its two boxes

What the shopper sees

On the review step, store credit appears as a credit option. With the Most popular tag on, the chip sits next to it where you chose. The option's description reads Receive a gift card code via email once your return has been approved for both credit types. With Gift card, the shopper receives a gift card code by email when the credit is issued. With Store credit, the credit appears on their Shopify account.

Screenshot

Portal review step, the credit option picker with the Most popular chip beside Store credit

How it works

Store credit carries the sales tax paid on the returned goods. There is no setting for it: the credit issued when you process the return covers the item price and the tax the shopper paid on it. The one exception is a store credit item returned beside an exchange item on the same return, whose gift card carries that item's goods value and not its tax.

With Gift card, ReturnZen creates a Shopify gift card for the credit when the return is processed and emails the code to the shopper. The note on the gift card in Shopify holds whichever details you ticked, so your team can trace a card back to its return.

With Store credit, the credit is added to the shopper's Shopify customer account and the return timeline reads Store credit of (amount) issued. Credit is added directly to the customer's Shopify account. If native store credit cannot be issued, ReturnZen issues a gift card instead and the timeline says so in a separate sentence.

Important: Native store credit needs the store credit permissions on your Shopify custom app. The Shopify page under Tools > Integrations flags a store that is missing them.

FAQ

Can a shopper mix a refund and store credit on one return? No. Refund and exchange can mix on one return, and store credit and exchange can mix, but refund and store credit cannot. Each item is paid by its own outcome. In the portal, and in the Create return window, choosing refund on one item greys out store credit on the others, and the reverse.

Does a bonus ever get refunded? No. If a shopper switches a store credit return to a refund, or underspends a Shop Now cart and takes the leftover as a refund, the bonus is dropped.

Why did a shopper get a gift card when my store uses native store credit? Shopify could not add the credit, usually because the custom app lacks the store credit permission. ReturnZen issued a gift card instead and recorded why on the timeline.

Which type do I pick? Gift card works on every store and gives the shopper a code to use at checkout. Store credit needs the store credit permissions on your custom app and lands on the shopper's Shopify account, with nothing to type at checkout.

Is sales tax included in the credit? Yes. Store credit carries the sales tax paid on the returned goods, with one exception: a store credit item returned beside an exchange item on the same return is credited for the goods only.

Can I add a bonus to store credit? On the policy's Store credit card, under Fee or incentive, choose Bonus credit. See Store credit and bonuses.

Please reach out to support@returnzen.app with any additional questions.