When receiving items into Inventory, the resulting AP batch does not contain tax distribution information.

The set-up is as follows: Inventory has tax code 0 set up for items and purchases at the standard tax rate. (I'm not clear on the function of the item vs. purchase tax rates but they are both set up).

The tax tables in Inventory have the correct rate set up for tax code 0 items and purchases, and ?Tax in item cost? is NOT ticked with the correct GL tax account entered.

When a receipt is posted in Inventory, the correct tax amount is reflected on the Totals window of the receipt. In addition, the Tax Tracking report in Inventory correctly shows the tax amount.

In AP a ?Tax included purchase? distribution is set up using tax code 0 and the standard tax rate. The vendor is set up to default to this distribution and to tax code 0.

My problem is that when Inventory creates a direct AP batch during Day End Processing, the distribution must be selected in AP in order to get the correct tax and clearing account distributions before this batch can be posted.

Is possible set up the link between Inventory and AP in such a way that this extra step in AP is not necessary?