Order financial status is still 'paid' after order is cancelled

Hi folks - just following up here per @KyleG-Shopify’s findings:

We were able to confirm with the product team that this behaviour is currently expected. As Kyle mentioned, if there is no processed payment associated with an order (even if it was marked as paid), marking it as refunded won’t trigger an actual refund since there was no “real” money initially associated with the order.

I’ll be setting up a feature request on my end here though so that we can look into making this experience better (and possibly enabling refunds this way). I can’t guarantee anything, but I did just want to mention I’ll log this officially on our end.

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