R12: Accounts Payables - Distribution Account Invalid Hold

AP Invoice Hold - DIST ACCT INVALID Hold is Placed at Invoice Cancellation

When you are attempting to cancel an invoice after it is validated you may encounter an error message. The error message you will see is displayed in the screenshot below. 

The invoice status will change to Need Revalidation. This is because the account code combination entered on the distributions of the invoice at the time of its creation was disabled or de-activated. As a result, you will not be able to process the invoice any further, including validation or cancelation.

The cancellation process creates a reversal line on the invoice using the same distribution account that was originally entered. If that account is not valid, a DIST ACCT INVALID will be placed on the invoice.

To resolve the issue, please perform one of the following:

1.       Re-enable the inactive or disabled distribution account code combination in order to release the DIST ACCT INVALID hold.

2.       Re-cancel the invoice or continue to process the invoice

Or

1.       Update the distribution account to an active account on the reversal line created by the cancellation process. This will release the DIST ACCT INVALID hold.

2.       Re-cancel the invoice or continue to process the invoice

For more information, please see Oracle Doc ID 1350058.1 (R12: DIST ACCT INVALID Hold is Placed at Invoice Cancellation