Partial order refunds
The ability to refund a single item from an order and have this be properly reflected on the credit memo to send out to the customer. At the moment it is necessary to fudge this by adjusing the refund amounts on the credit memo but printing all of the products on the credit memo when only one is being refunded is very confusing for customers.
You are right, that's very inconvenient. Currently this extension solves the issue https://amasty.com/magento-rma.html
Harish Varma commented
I want actual refund which is related to paypal account.
When admin click on crediit memo at that time client will get refunded from our site.