diff --git a/api/app/controllers/spree/api/customer_returns_controller.rb b/api/app/controllers/spree/api/customer_returns_controller.rb
index 6bc4b769896..5484522e997 100644
--- a/api/app/controllers/spree/api/customer_returns_controller.rb
+++ b/api/app/controllers/spree/api/customer_returns_controller.rb
@@ -4,13 +4,14 @@ module Spree
   module Api
     class CustomerReturnsController < Spree::Api::BaseController
       before_action :load_order
+      before_action :build_return_items_from_params, only: [:create]
       around_action :lock_order, only: [:create, :update, :destroy, :cancel]
 
       rescue_from Spree::Order::InsufficientStock, with: :insufficient_stock_error
 
       def create
         authorize! :create, CustomerReturn
-        @customer_return = CustomerReturn.create(customer_return_params)
+
         if @customer_return.save
           respond_with(@customer_return, status: 201, default_template: :show)
         else
@@ -62,6 +63,26 @@ def load_order
       def customer_return_params
         params.require(:customer_return).permit(permitted_customer_return_attributes)
       end
+
+      def build_return_items_from_params
+        customer_return_attributes = customer_return_params
+        return_items_params = customer_return_attributes.
+          delete(:return_items_attributes)
+
+        @customer_return = CustomerReturn.new(customer_return_attributes)
+
+        @customer_return.return_items = return_items_params.map do |item_params|
+          return_item = if item_params[:id]
+                          Spree::ReturnItem.find(item_params[:id])
+                        else
+                          Spree::ReturnItem.new
+                        end
+
+          return_item.assign_attributes(item_params)
+
+          return_item
+        end.compact
+      end
     end
   end
 end
diff --git a/api/spec/requests/spree/api/customer_returns_controller_spec.rb b/api/spec/requests/spree/api/customer_returns_controller_spec.rb
index 017160d4a71..4c307af04f2 100644
--- a/api/spec/requests/spree/api/customer_returns_controller_spec.rb
+++ b/api/spec/requests/spree/api/customer_returns_controller_spec.rb
@@ -159,7 +159,6 @@ module Spree
         end
 
         it "can create a new customer return" do
-          pending("fix for referrencing existing return items")
           expect { subject }.to change { Spree::CustomerReturn.count }.
             from(0).to(1)
 
@@ -172,6 +171,23 @@ module Spree
             to_not change { return_item.reload.reception_status }.
             from("awaiting")
         end
+
+        context "with reception_status_event provided for return item" do
+          let(:customer_return_params) do
+            {
+              stock_location_id: stock_location.id,
+              return_items_attributes: [
+                return_item.attributes.merge(reception_status_event: "receive")
+              ]
+            }
+          end
+
+          it "updates the reception status of the return item" do
+            expect { subject }.
+              to change { return_item.reload.reception_status }.
+              from("awaiting").to("received")
+          end
+        end
       end
     end
   end