diff --git a/includes/updates/woocommerce-update-2.4.php b/includes/updates/woocommerce-update-2.4.php
index a2d980a31af..0449a508d0c 100644
--- a/includes/updates/woocommerce-update-2.4.php
+++ b/includes/updates/woocommerce-update-2.4.php
@@ -12,5 +12,37 @@ if ( ! defined( 'ABSPATH' ) ) {
 	exit;
 }
 
+global $wpdb;
+
 // Maintain the old coupon logic for upgrades
-update_option( 'woocommerce_calc_discounts_sequentially', 'yes' );
\ No newline at end of file
+update_option( 'woocommerce_calc_discounts_sequentially', 'yes' );
+
+// Update fully refunded orders to ensure they have a refund line item so reports add up
+$refunded_orders = get_posts( array(
+	'posts_per_page' => -1,
+	'post_type'      => 'shop_order',
+	'post_status'    => array( 'wc-refunded' )
+) );
+
+foreach ( $refunded_orders as $refunded_order ) {
+	$order_total    = get_post_meta( $refunded_order->ID, '_order_total', true );
+	$refunded_total = $wpdb->get_var( $wpdb->prepare( "
+		SELECT SUM( postmeta.meta_value )
+		FROM $wpdb->postmeta AS postmeta
+		INNER JOIN $wpdb->posts AS posts ON ( posts.post_type = 'shop_order_refund' AND posts.post_parent = %d )
+		WHERE postmeta.meta_key = '_refund_amount'
+		AND postmeta.post_id = posts.ID
+	", $refunded_order->ID ) );
+
+	if ( $order_total > $refunded_total ) {
+		$refund = wc_create_refund( array(
+			'amount'     => $order_total - $refunded_total,
+			'reason'     => __( 'Order Fully Refunded', 'woocommerce' ),
+			'order_id'   => $refunded_order->ID,
+			'line_items' => array(),
+			'date'       => $refunded_order->post_modified
+		) );
+	}
+}
+
+wc_delete_shop_order_transients();
\ No newline at end of file
diff --git a/includes/wc-order-functions.php b/includes/wc-order-functions.php
index 69ba3490972..5e8dc92e302 100644
--- a/includes/wc-order-functions.php
+++ b/includes/wc-order-functions.php
@@ -597,7 +597,8 @@ function wc_create_refund( $args = array() ) {
 		'reason'     => null,
 		'order_id'   => 0,
 		'refund_id'  => 0,
-		'line_items' => array()
+		'line_items' => array(),
+		'date'       => current_time( 'mysql', 0 )
 	);
 
 	$args        = wp_parse_args( $args, $default_args );
@@ -615,6 +616,7 @@ function wc_create_refund( $args = array() ) {
 		$refund_data['post_password'] = uniqid( 'refund_' );
 		$refund_data['post_parent']   = absint( $args['order_id'] );
 		$refund_data['post_title']    = sprintf( __( 'Refund – %s', 'woocommerce' ), strftime( _x( '%b %d, %Y @ %I:%M %p', 'Order date parsed by strftime', 'woocommerce' ) ) );
+		$refund_data['post_date']     = $args['date'];
 	}
 
 	if ( ! is_null( $args['reason'] ) ) {
@@ -757,7 +759,6 @@ function wc_get_payment_gateway_by_order( $order ) {
  */
 function wc_order_fully_refunded( $order_id ) {
 	$order       = wc_get_order( $order_id );
-	$order_items = $order->get_items();
 	$max_refund  = wc_format_decimal( $order->get_total() - $order->get_total_refunded() );
 
 	if ( ! $max_refund ) {