diff --git a/erpnext/accounts/doctype/payment_order/payment_order.js b/erpnext/accounts/doctype/payment_order/payment_order.js
index e2d65423e8727a0c3c3de7d1fe0465c2d08c4f03..d64ba9a370bbea2f17a4e69bb4fbf6877944664e 100644
--- a/erpnext/accounts/doctype/payment_order/payment_order.js
+++ b/erpnext/accounts/doctype/payment_order/payment_order.js
@@ -11,6 +11,16 @@ frappe.ui.form.on('Payment Order', {
 			}
 		});
 
+		frm.set_query("bank_account", "references", function(doc, cdt, cdn) {
+			const row = locals[cdt][cdn]
+			return {
+				filters: {
+					"party_type": "Supplier",
+					"party": row.supplier
+				}
+			}
+		});
+
 		frm.set_df_property('references', 'cannot_add_rows', true);
 	},
 	refresh: function(frm) {
@@ -23,11 +33,15 @@ frappe.ui.form.on('Payment Order', {
 				frm.trigger("get_from_payment_entry");
 			}, __("Get Payments from"));
 
+			frm.add_custom_button(__('Purchase Invoice'), function() {
+				frm.trigger("get_from_purchase_invoice");
+			}, __("Get Payments from"));
+
 			frm.trigger('remove_button');
 		}
 
 		// payment Entry
-		if (frm.doc.docstatus===1 && frm.doc.payment_order_type==='Payment Request') {
+		if (frm.doc.docstatus===1 && ["Payment Request", "Purchase Invoice"].includes(frm.doc.payment_order_type)) {
 			frm.add_custom_button(__('Journal entries for one supplier'), function() {
 				frm.trigger("make_payment_records");
 			}, __("Create"));
@@ -123,6 +137,28 @@ frappe.ui.form.on('Payment Order', {
 		});
 	},
 
+	get_from_purchase_invoice: function(frm) {
+		frm.trigger("remove_row_if_empty");
+		erpnext.utils.map_current_doc({
+			method: "erpnext.accounts.doctype.purchase_invoice.purchase_invoice.make_payment_order",
+			source_doctype: "Purchase Invoice",
+			target: frm,
+			date_field: "due_date",
+			setters: {
+				supplier: frm.doc.supplier || "",
+				posting_date: null,
+				due_date: null,
+				company: frm.doc.company,
+				status: "Overdue",
+				outstanding_amount: null,
+			},
+			get_query_filters: {
+				docstatus: 1,
+				outstanding_amount: (">", 0.0)
+			}
+		});
+	},
+
 	make_payment_records: function(frm){
 		var dialog = new frappe.ui.Dialog({
 			title: __("For Supplier"),
diff --git a/erpnext/accounts/doctype/payment_order/payment_order.json b/erpnext/accounts/doctype/payment_order/payment_order.json
index 88776bc5aec422d72a6d1709735f4a2623ab2825..a1f6768bd895d553aec96c225139482647782092 100644
--- a/erpnext/accounts/doctype/payment_order/payment_order.json
+++ b/erpnext/accounts/doctype/payment_order/payment_order.json
@@ -79,7 +79,7 @@
    "fieldname": "payment_order_type",
    "fieldtype": "Select",
    "label": "Payment Order Type",
-   "options": "\nPayment Request\nPayment Entry",
+   "options": "\nPayment Request\nPayment Entry\nPurchase Invoice",
    "read_only": 1,
    "reqd": 1
   },
@@ -115,7 +115,7 @@
    "link_fieldname": "payment_order"
   }
  ],
- "modified": "2023-11-27 17:19:23.959658",
+ "modified": "2024-04-11 16:51:34.723794",
  "modified_by": "Administrator",
  "module": "Accounts",
  "name": "Payment Order",
diff --git a/erpnext/accounts/doctype/payment_order/payment_order.py b/erpnext/accounts/doctype/payment_order/payment_order.py
index ac1800977f364ba61a3791346e249a94c0afee51..6ff59dd358217a614a92438227f855b15100bfd4 100644
--- a/erpnext/accounts/doctype/payment_order/payment_order.py
+++ b/erpnext/accounts/doctype/payment_order/payment_order.py
@@ -31,7 +31,7 @@ class PaymentOrder(Document):
 		company_bank_account: DF.Link
 		naming_series: DF.Literal["PMO-"]
 		party: DF.Link | None
-		payment_order_type: DF.Literal["", "Payment Request", "Payment Entry"]
+		payment_order_type: DF.Literal["", "Payment Request", "Payment Entry", "Purchase Invoice"]
 		posting_date: DF.Date | None
 		references: DF.Table[PaymentOrderReference]
 	# end: auto-generated types
diff --git a/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.json b/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.json
index ec00feecbac85e0c0b352d447798038046bd9a6c..8e7c3107fedab275024a50e740508f54efba8cc0 100644
--- a/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.json
+++ b/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.json
@@ -24,6 +24,9 @@
   "is_paid",
   "is_return",
   "return_against",
+  "update_outstanding_for_self",
+  "update_billed_amount_in_purchase_order",
+  "update_billed_amount_in_purchase_receipt",
   "apply_tds",
   "tax_withholding_category",
   "amended_from",
@@ -193,6 +196,7 @@
   "is_internal_supplier",
   "represents_company",
   "supplier_group",
+  "payment_order_status",
   "column_break_147",
   "inter_company_invoice_reference",
   "is_old_subcontracting_flow",
@@ -421,6 +425,20 @@
    "read_only": 1,
    "search_index": 1
   },
+  {
+   "default": "0",
+   "depends_on": "eval: doc.is_return",
+   "fieldname": "update_billed_amount_in_purchase_order",
+   "fieldtype": "Check",
+   "label": "Update Billed Amount in Purchase Order"
+  },
+  {
+   "default": "1",
+   "depends_on": "eval: doc.is_return",
+   "fieldname": "update_billed_amount_in_purchase_receipt",
+   "fieldtype": "Check",
+   "label": "Update Billed Amount in Purchase Receipt"
+  },
   {
    "fieldname": "section_addresses",
    "fieldtype": "Section Break",
@@ -1279,7 +1297,8 @@
    "in_standard_filter": 1,
    "label": "Status",
    "no_copy": 1,
-   "options": "\nDraft\nReturn\nDebit Note Issued\nSubmitted\nPaid\nPartly Paid\nUnpaid\nOverdue\nCancelled\nInternal Transfer"
+   "options": "\nDraft\nReturn\nDebit Note Issued\nSubmitted\nPaid\nPartly Paid\nUnpaid\nOverdue\nCancelled\nInternal Transfer",
+   "print_hide": 1
   },
   {
    "fieldname": "inter_company_invoice_reference",
@@ -1648,6 +1667,21 @@
    "fieldname": "is_down_payment_invoice",
    "fieldtype": "Check",
    "label": "Is Down Payment Invoice"
+  },
+  {
+   "default": "1",
+   "depends_on": "eval: doc.is_return && doc.return_against",
+   "description": "Debit Note will update it's own outstanding amount, even if \"Return Against\" is specified.",
+   "fieldname": "update_outstanding_for_self",
+   "fieldtype": "Check",
+   "label": "Update Outstanding for Self"
+  },
+  {
+   "fieldname": "payment_order_status",
+   "fieldtype": "Select",
+   "label": "Payment Order Status",
+   "options": "Initiated\nPayment Ordered",
+   "read_only": 1
   }
  ],
  "icon": "uil uil-file-alt",
@@ -1655,13 +1689,13 @@
  "is_sealed": 1,
  "is_submittable": 1,
  "links": [
-    {
-     "group": "Payment Request",
-     "link_doctype": "Payment Request",
-     "link_fieldname": "reference_name"
-    }
+  {
+   "group": "Payment Request",
+   "link_doctype": "Payment Request",
+   "link_fieldname": "reference_name"
+  }
  ],
- "modified": "2024-03-22 16:15:09.099187",
+ "modified": "2024-04-11 17:13:37.934789",
  "modified_by": "Administrator",
  "module": "Accounts",
  "name": "Purchase Invoice",
diff --git a/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.py b/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.py
index ca337698e8adf9c70950cd80b8e029f242f92be7..26e701192d56577fb681814eca69a41e366b7cc2 100644
--- a/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.py
+++ b/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.py
@@ -153,6 +153,7 @@ class PurchaseInvoice(BuyingController):
 		outstanding_amount: DF.Currency
 		paid_amount: DF.Currency
 		party_account_currency: DF.Link | None
+		payment_order_status: DF.Literal["Initiated", "Payment Ordered"]
 		payment_schedule: DF.Table[PaymentSchedule]
 		payment_terms_template: DF.Link | None
 		per_received: DF.Percent
@@ -216,6 +217,9 @@ class PurchaseInvoice(BuyingController):
 		total_taxes_and_charges: DF.Currency
 		unrealized_profit_loss_account: DF.Link | None
 		unreconciled_amount: DF.Currency
+		update_billed_amount_in_purchase_order: DF.Check
+		update_billed_amount_in_purchase_receipt: DF.Check
+		update_outstanding_for_self: DF.Check
 		update_stock: DF.Check
 		use_company_roundoff_cost_center: DF.Check
 		use_transaction_date_exchange_rate: DF.Check
@@ -1953,3 +1957,36 @@ def make_purchase_receipt(source_name, target_doc=None):
 	)
 
 	return doc
+
+
+@frappe.whitelist()
+def make_payment_order(source_name, target_doc=None):
+	from frappe.model.mapper import get_mapped_doc
+
+	def set_missing_values(source, target):
+		target.payment_order_type = "Purchase Invoice"
+		bank_account = frappe.db.get_value("Supplier", source.supplier, "default_bank_account")
+		target.append(
+			"references",
+			{
+				"reference_doctype": source.doctype,
+				"reference_name": source.name,
+				"amount": source.outstanding_amount,
+				"supplier": source.supplier,
+				"bank_account": bank_account,
+			},
+		)
+
+	doclist = get_mapped_doc(
+		"Purchase Invoice",
+		source_name,
+		{
+			"Purchase Invoice": {
+				"doctype": "Payment Order",
+			}
+		},
+		target_doc,
+		set_missing_values,
+	)
+
+	return doclist