Company's current liability cannot be handled as a payable Account Type

  • A Current Liability Created : Refundable Security Deposit (received from customer).

  • Account Type of Refundable Security Deposit is Payable

  • Tried to create a JV. But the Party Type cannot be selected as a Customer while the Account Type of the above account is Payable

  • It works properly in the following situations;

  1. Changed Account Type of Refundable Security Deposit to Receivable
  2. Customer’s Party Type has been changed to Receivable

Can anyone help us understand which approach is correct? Or do we have any alternative options to suggest?

Hi, Is there any update on this?

Tested with Zoho Books adding said Current Liability.
And JV can be created as expected. Refundable Security Deposit can be assigned to a customer or a supplier without any restrictions.

Is this a bug or a default behaviour?

Please guide…