Purchase Receipt Correction: Cancellation of a Purchase Receipt

This topic explains how you can cancel a released purchase receipt that has been prepared for a purchase order of the Normal or Drop-Ship type—that is, for a normal or drop-ship purchase order.

Important: The functionality of receipt cancellation is unavailable if the Manufacturing or Service Management feature is enabled on the Enable/Disable Features (CS100000) form.

Cancellation of a Purchase Receipt for a Normal Purchase Order

You can cancel a purchase receipt related to a normal purchase order if this receipt has the Released status. To cancel a purchase receipt, while viewing it on the Purchase Receipts (PO302000) form, you click Cancel Receipt on the More menu. The system checks whether all requirements are met for the purchase receipt:

  • It has at least one line of the Goods for IN , Non-Stock for IN, Service, or Freight type.
  • It has no related AP bills, except for those that have been fully reversed.
  • It contains no lines of the Goods for RP , Goods for Project, or Non Stock for Project type.
  • It has no lines with non-stock kits.
  • No landed cost documents have been applied to it.
  • No putaway transfers have been prepared for it.
  • It does not have related purchase returns.
  • Its stock is not locked due to a physical inventory count.
  • Its related purchase order has no related AP bills, except for those that have been fully reversed. The system checks the purchase order if it has the Allow AP Bill Before Receipt check box selected on the Other tab of the Purchase Orders (PO301000) form.

If all of these conditions are met, the system displays a confirmation dialog box. If you click OK, the system validates the state of inventory. That is, it verifies whether it is possible to issue the items with the original quantity and cost. For details on the validation, see Purchase Receipt Correction: Inventory Validation.

If the validation fails, the system shows an error message. If the validation is successful, the system generates and releases a reversal inventory issue with the Issue type of transactions. This issue will be released automatically, regardless of the state of the Release IN Documents Automatically check box on the Purchase Orders Preferences (PO101000) form. You can find its link in the Reversal IN Ref. Nbr. box on the Other tab of Purchase Receipts form. Then the system assigns the Canceled status to the purchase receipt.

Important: If a purchase receipt is canceled, the system does not recalculate the cost statistics on the Price/Cost tab of the Stock Items (IN202500) or Item Warehouse Details (IN204500) form for items that were included in this receipt.

As soon as the purchase receipt is canceled, the system updates the related purchase order on the Purchase Orders form as follows:

  • It reopens the linked lines of the related purchase order if these lines have already been completed.
  • If the related purchase order has the Completed status, the system assigns the Open status to it.
  • In each linked line of the related purchase order, the system updates the value in the Qty. On Receipts column on the Details tab.

Cancellation of a Purchase Receipt for a Drop-Ship Purchase Order

You can cancel a purchase receipt related to a drop-ship purchase order if this receipt has the Released status. To cancel a purchase receipt, while viewing it on the Purchase Receipts form, you click Correct Receipt on the More menu. The system checks whether all of the following conditions are met for the purchase receipt:

  • It has at least one line of the Goods for Drop-Ship or Non-Stock for Drop-Ship type.
  • It contains no lines of the Goods for IN or Non-Stock types.
  • It has no related AP bills, except for AP bills that have been fully reversed.
  • No landed cost documents have been applied to the it.
  • It does not have related purchase returns.
  • No sales invoices include its lines, except for canceled invoices.
  • Its related purchase order has no related AP bills, except for those that have been fully reversed. The system checks the purchase order if it has the Allow AP Bill Before Receipt check box selected on the Other tab of the Purchase Orders (PO301000) form.

If all of these conditions are met, the system displays a confirmation dialog box. If you click OK, the system assigns the Canceled status to the purchase receipt.

As soon as the purchase receipt is canceled, the system updates the related documents as follows:

  • It reopens the linked lines of the related purchase and sales order if these lines have already been completed.
  • If the related purchase order has the Completed status on the Purchase Orders (PO301000) form, the system assigns the Open status to it.
  • If a related sales order has the Completed status on the Sales Orders (SO301000) form, the system assigns another status based on the order's workflow.
  • In each linked line of the related purchase order, the system updates the value in the Qty. On Receipts column on the Details tab of the Purchase Orders form.
  • In each linked line of the related sales order, the system updates the values in the Qty. On Shipments and Open Qty. columns on the Details tab of the Sales Orders form.

Cancellation of a Purchase Receipt with a Canceled Invoice

If a purchase receipt for a purchase order of the Drop-Ship type has a related released sales invoice, this receipt also has a related inventory issue. If you cancel the sales invoice and then cancel the purchase receipt, the system automatically generates and releases a reversal inventory issue with a reversal GL batch of transactions. In this issue, the system fully reverts the transactions that were generated on the release of the original inventory issue. The reversal inventory issue is released automatically, regardless of the state of the Release IN Documents Automatically check box on the Purchase Orders Preferences (PO101000) form.

The link to the reversal inventory issue appears in the Reversal IN Ref. Nbr. box on the Other tab of the Purchase Receipts (PO302000) form.