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If you’re using Vend gift cards and Xero, you will need to configure your settings so that Liability flows through to Xero when gift cards are sold and redeemed.
If you are looking to set up Vend gift cards, the steps in this video are mandatory. You will need to map the correct account code to your gift card payment type and to your account for liabilities in the Vend – Xero mappings page so gift card sales and redemption will flow through to Xero.

Vend Help Center Article: