How to handle clearance charges and duty taxes associated with item replacement

Summary:

Hi,

There is a business use case where in customer returns the faulty item to us gets the replacement item based on warranty policy.

When we receive the faulty item from customer against the sales return of Zero cost (as we are going to provide replacement item to customer so there is no need to create credit note) to increase the inventory of the item which can later sent to supplier for replacement.

Once we get new from supplier, we can dispatch it to customer against sales order with Zero value as faulty item was under warranty policy.

Now the cost which we incur like clearance and duty charges to get the faulty item from Port and same type of charges when supplying new item at the port to customer. How this expenses are to be handled as item was replaced in warranty policy.