diff --git a/erpnext/accounts/doctype/journal_entry/journal_entry.py b/erpnext/accounts/doctype/journal_entry/journal_entry.py
index 40d552bc88f..7579da86cdf 100644
--- a/erpnext/accounts/doctype/journal_entry/journal_entry.py
+++ b/erpnext/accounts/doctype/journal_entry/journal_entry.py
@@ -186,9 +186,12 @@ class JournalEntry(AccountsController):
 
 	def update_advance_paid(self):
 		advance_paid = frappe._dict()
+		advance_payment_doctypes = frappe.get_hooks(
+			"advance_payment_customer_doctypes"
+		) + frappe.get_hooks("advance_payment_supplier_doctypes")
 		for d in self.get("accounts"):
 			if d.is_advance:
-				if d.reference_type in frappe.get_hooks("advance_payment_doctypes"):
+				if d.reference_type in advance_payment_doctypes:
 					advance_paid.setdefault(d.reference_type, []).append(d.reference_name)
 
 		for voucher_type, order_list in advance_paid.items():
diff --git a/erpnext/accounts/doctype/payment_entry/payment_entry.py b/erpnext/accounts/doctype/payment_entry/payment_entry.py
index dbebbb00fac..b8781ef1203 100644
--- a/erpnext/accounts/doctype/payment_entry/payment_entry.py
+++ b/erpnext/accounts/doctype/payment_entry/payment_entry.py
@@ -925,7 +925,10 @@ class PaymentEntry(AccountsController):
 
 	def calculate_base_allocated_amount_for_reference(self, d) -> float:
 		base_allocated_amount = 0
-		if d.reference_doctype in frappe.get_hooks("advance_payment_doctypes"):
+		advance_payment_doctypes = frappe.get_hooks(
+			"advance_payment_customer_doctypes"
+		) + frappe.get_hooks("advance_payment_supplier_doctypes")
+		if d.reference_doctype in advance_payment_doctypes:
 			# When referencing Sales/Purchase Order, use the source/target exchange rate depending on payment type.
 			# This is so there are no Exchange Gain/Loss generated for such doctypes
 
@@ -1423,8 +1426,11 @@ class PaymentEntry(AccountsController):
 
 	def update_advance_paid(self):
 		if self.payment_type in ("Receive", "Pay") and self.party:
+			advance_payment_doctypes = frappe.get_hooks(
+				"advance_payment_customer_doctypes"
+			) + frappe.get_hooks("advance_payment_supplier_doctypes")
 			for d in self.get("references"):
-				if d.allocated_amount and d.reference_doctype in frappe.get_hooks("advance_payment_doctypes"):
+				if d.allocated_amount and d.reference_doctype in advance_payment_doctypes:
 					frappe.get_doc(
 						d.reference_doctype, d.reference_name, for_update=True
 					).set_total_advance_paid()
diff --git a/erpnext/accounts/doctype/payment_request/payment_request.py b/erpnext/accounts/doctype/payment_request/payment_request.py
index 9772b9456d8..839348a5411 100644
--- a/erpnext/accounts/doctype/payment_request/payment_request.py
+++ b/erpnext/accounts/doctype/payment_request/payment_request.py
@@ -169,6 +169,13 @@ class PaymentRequest(Document):
 		elif self.payment_channel == "Phone":
 			self.request_phone_payment()
 
+		advance_payment_doctypes = frappe.get_hooks(
+			"advance_payment_customer_doctypes"
+		) + frappe.get_hooks("advance_payment_supplier_doctypes")
+		if self.reference_doctype in advance_payment_doctypes:
+			# set advance payment status
+			ref_doc.set_total_advance_paid()
+
 	def request_phone_payment(self):
 		controller = _get_payment_gateway_controller(self.payment_gateway)
 		request_amount = self.get_request_amount()
@@ -207,6 +214,14 @@ class PaymentRequest(Document):
 		self.check_if_payment_entry_exists()
 		self.set_as_cancelled()
 
+		ref_doc = frappe.get_doc(self.reference_doctype, self.reference_name)
+		advance_payment_doctypes = frappe.get_hooks(
+			"advance_payment_customer_doctypes"
+		) + frappe.get_hooks("advance_payment_supplier_doctypes")
+		if self.reference_doctype in advance_payment_doctypes:
+			# set advance payment status
+			ref_doc.set_total_advance_paid()
+
 	def make_invoice(self):
 		ref_doc = frappe.get_doc(self.reference_doctype, self.reference_name)
 		if hasattr(ref_doc, "order_type") and getattr(ref_doc, "order_type") == "Shopping Cart":
diff --git a/erpnext/accounts/utils.py b/erpnext/accounts/utils.py
index 19095bc46e4..9b706299945 100644
--- a/erpnext/accounts/utils.py
+++ b/erpnext/accounts/utils.py
@@ -600,7 +600,10 @@ def update_reference_in_journal_entry(d, journal_entry, do_not_save=False):
 	jv_detail = journal_entry.get("accounts", {"name": d["voucher_detail_no"]})[0]
 
 	# Update Advance Paid in SO/PO since they might be getting unlinked
-	if jv_detail.get("reference_type") in ("Sales Order", "Purchase Order"):
+	advance_payment_doctypes = frappe.get_hooks(
+		"advance_payment_customer_doctypes"
+	) + frappe.get_hooks("advance_payment_supplier_doctypes")
+	if jv_detail.get("reference_type") in advance_payment_doctypes:
 		frappe.get_doc(jv_detail.reference_type, jv_detail.reference_name).set_total_advance_paid()
 
 	if flt(d["unadjusted_amount"]) - flt(d["allocated_amount"]) != 0:
@@ -673,7 +676,10 @@ def update_reference_in_payment_entry(
 		existing_row = payment_entry.get("references", {"name": d["voucher_detail_no"]})[0]
 
 		# Update Advance Paid in SO/PO since they are getting unlinked
-		if existing_row.get("reference_doctype") in ("Sales Order", "Purchase Order"):
+		advance_payment_doctypes = frappe.get_hooks(
+			"advance_payment_customer_doctypes"
+		) + frappe.get_hooks("advance_payment_supplier_doctypes")
+		if existing_row.get("reference_doctype") in advance_payment_doctypes:
 			frappe.get_doc(
 				existing_row.reference_doctype, existing_row.reference_name
 			).set_total_advance_paid()
diff --git a/erpnext/buying/doctype/purchase_order/purchase_order.json b/erpnext/buying/doctype/purchase_order/purchase_order.json
index f74df6630e9..9da49a79ee2 100644
--- a/erpnext/buying/doctype/purchase_order/purchase_order.json
+++ b/erpnext/buying/doctype/purchase_order/purchase_order.json
@@ -134,6 +134,7 @@
   "more_info_tab",
   "tracking_section",
   "status",
+  "advance_payment_status",
   "column_break_75",
   "per_billed",
   "per_received",
@@ -1269,13 +1270,25 @@
    "fieldtype": "Tab Break",
    "label": "Connections",
    "show_dashboard": 1
+  },
+  {
+   "fieldname": "advance_payment_status",
+   "fieldtype": "Select",
+   "hidden": 1,
+   "in_standard_filter": 1,
+   "label": "Advance Payment Status",
+   "no_copy": 1,
+   "oldfieldname": "status",
+   "oldfieldtype": "Select",
+   "options": "Not Initiated\nInitiated\nPartially Paid\nFully Paid",
+   "print_hide": 1
   }
  ],
  "icon": "fa fa-file-text",
  "idx": 105,
  "is_submittable": 1,
  "links": [],
- "modified": "2023-10-01 20:58:07.851037",
+ "modified": "2023-10-10 13:37:40.158761",
  "modified_by": "Administrator",
  "module": "Buying",
  "name": "Purchase Order",
@@ -1330,4 +1343,4 @@
  "timeline_field": "supplier",
  "title_field": "supplier_name",
  "track_changes": 1
-}
\ No newline at end of file
+}
diff --git a/erpnext/buying/doctype/purchase_order/purchase_order.py b/erpnext/buying/doctype/purchase_order/purchase_order.py
index b830e7d204d..4efbb270e90 100644
--- a/erpnext/buying/doctype/purchase_order/purchase_order.py
+++ b/erpnext/buying/doctype/purchase_order/purchase_order.py
@@ -215,6 +215,10 @@ class PurchaseOrder(BuyingController):
 
 		self.validate_fg_item_for_subcontracting()
 		self.set_received_qty_for_drop_ship_items()
+
+		if not self.advance_payment_status:
+			self.advance_payment_status = "Not Initiated"
+
 		validate_inter_company_party(
 			self.doctype, self.supplier, self.company, self.inter_company_order_reference
 		)
diff --git a/erpnext/buying/doctype/purchase_order/purchase_order_list.js b/erpnext/buying/doctype/purchase_order/purchase_order_list.js
index 6594746cfc5..d39d7f92137 100644
--- a/erpnext/buying/doctype/purchase_order/purchase_order_list.js
+++ b/erpnext/buying/doctype/purchase_order/purchase_order_list.js
@@ -1,6 +1,6 @@
 frappe.listview_settings['Purchase Order'] = {
 	add_fields: ["base_grand_total", "company", "currency", "supplier",
-		"supplier_name", "per_received", "per_billed", "status"],
+		"supplier_name", "per_received", "per_billed", "status", "advance_payment_status"],
 	get_indicator: function (doc) {
 		if (doc.status === "Closed") {
 			return [__("Closed"), "green", "status,=,Closed"];
@@ -8,6 +8,8 @@ frappe.listview_settings['Purchase Order'] = {
 			return [__("On Hold"), "orange", "status,=,On Hold"];
 		} else if (doc.status === "Delivered") {
 			return [__("Delivered"), "green", "status,=,Closed"];
+		} else if (doc.advance_payment_status == "Initiated") {
+			return [__("To Pay"), "gray", "advance_payment_status,=,Initiated"];
 		} else if (flt(doc.per_received, 2) < 100 && doc.status !== "Closed") {
 			if (flt(doc.per_billed, 2) < 100) {
 				return [__("To Receive and Bill"), "orange",
diff --git a/erpnext/buying/doctype/purchase_order/test_purchase_order.py b/erpnext/buying/doctype/purchase_order/test_purchase_order.py
index 9b382bbd7e4..5405799b4ec 100644
--- a/erpnext/buying/doctype/purchase_order/test_purchase_order.py
+++ b/erpnext/buying/doctype/purchase_order/test_purchase_order.py
@@ -1021,6 +1021,33 @@ class TestPurchaseOrder(FrappeTestCase):
 
 		self.assertTrue(frappe.db.get_value("Subcontracting Order", {"purchase_order": po.name}))
 
+	def test_purchase_order_advance_payment_status(self):
+		from erpnext.accounts.doctype.payment_entry.test_payment_entry import get_payment_entry
+		from erpnext.accounts.doctype.payment_request.payment_request import make_payment_request
+
+		po = create_purchase_order()
+		self.assertEqual(
+			frappe.db.get_value(po.doctype, po.name, "advance_payment_status"), "Not Initiated"
+		)
+
+		pr = make_payment_request(dt=po.doctype, dn=po.name, submit_doc=True, return_doc=True)
+		self.assertEqual(frappe.db.get_value(po.doctype, po.name, "advance_payment_status"), "Initiated")
+
+		pe = get_payment_entry(po.doctype, po.name).save().submit()
+		self.assertEqual(
+			frappe.db.get_value(po.doctype, po.name, "advance_payment_status"), "Fully Paid"
+		)
+
+		pe.reload()
+		pe.cancel()
+		self.assertEqual(frappe.db.get_value(po.doctype, po.name, "advance_payment_status"), "Initiated")
+
+		pr.reload()
+		pr.cancel()
+		self.assertEqual(
+			frappe.db.get_value(po.doctype, po.name, "advance_payment_status"), "Not Initiated"
+		)
+
 
 def prepare_data_for_internal_transfer():
 	from erpnext.accounts.doctype.sales_invoice.test_sales_invoice import create_internal_supplier
diff --git a/erpnext/buying/report/purchase_order_analysis/purchase_order_analysis.js b/erpnext/buying/report/purchase_order_analysis/purchase_order_analysis.js
index 91506c0ab39..3bf4f2bb296 100644
--- a/erpnext/buying/report/purchase_order_analysis/purchase_order_analysis.js
+++ b/erpnext/buying/report/purchase_order_analysis/purchase_order_analysis.js
@@ -54,7 +54,7 @@ frappe.query_reports["Purchase Order Analysis"] = {
 			"fieldtype": "MultiSelectList",
 			"width": "80",
 			get_data: function(txt) {
-				let status = ["To Bill", "To Receive", "To Receive and Bill", "Completed"]
+				let status = ["To Pay", "To Bill", "To Receive", "To Receive and Bill", "Completed"]
 				let options = []
 				for (let option of status){
 					options.push({
diff --git a/erpnext/controllers/accounts_controller.py b/erpnext/controllers/accounts_controller.py
index 0c554f23740..7cc4bfe2c96 100644
--- a/erpnext/controllers/accounts_controller.py
+++ b/erpnext/controllers/accounts_controller.py
@@ -1749,7 +1749,10 @@ class AccountsController(TransactionBase):
 
 	def set_total_advance_paid(self):
 		ple = frappe.qb.DocType("Payment Ledger Entry")
-		party = self.customer if self.doctype == "Sales Order" else self.supplier
+		if self.doctype in frappe.get_hooks("advance_payment_customer_doctypes"):
+			party = self.customer
+		if self.doctype in frappe.get_hooks("advance_payment_supplier_doctypes"):
+			party = self.supplier
 		advance = (
 			frappe.qb.from_(ple)
 			.select(ple.account_currency, Abs(Sum(ple.amount_in_account_currency)).as_("amount"))
@@ -1763,6 +1766,8 @@ class AccountsController(TransactionBase):
 			.run(as_dict=True)
 		)
 
+		advance_paid, order_total = None, None
+
 		if advance:
 			advance = advance[0]
 
@@ -1791,7 +1796,38 @@ class AccountsController(TransactionBase):
 					).format(formatted_advance_paid, self.name, formatted_order_total)
 				)
 
-			frappe.db.set_value(self.doctype, self.name, "advance_paid", advance_paid)
+			self.db_set("advance_paid", advance_paid)
+
+		self.set_advance_payment_status(advance_paid, order_total)
+
+	def set_advance_payment_status(
+		self, advance_paid: float | None = None, order_total: float | None = None
+	):
+		new_status = None
+		# if money is paid set the paid states
+		if advance_paid:
+			new_status = "Partially Paid" if advance_paid < order_total else "Fully Paid"
+
+		if not new_status:
+			prs = frappe.db.count(
+				"Payment Request",
+				{
+					"reference_doctype": self.doctype,
+					"reference_name": self.name,
+					"docstatus": 1,
+				},
+			)
+			if self.doctype in frappe.get_hooks("advance_payment_customer_doctypes"):
+				new_status = "Requested" if prs else "Not Requested"
+			if self.doctype in frappe.get_hooks("advance_payment_supplier_doctypes"):
+				new_status = "Initiated" if prs else "Not Initiated"
+
+		if new_status == self.advance_payment_status:
+			return
+
+		self.db_set("advance_payment_status", new_status)
+		self.set_status(update=True)
+		self.notify_update()
 
 	@property
 	def company_abbr(self):
diff --git a/erpnext/controllers/status_updater.py b/erpnext/controllers/status_updater.py
index 297f8c26be9..ac8c88f2a53 100644
--- a/erpnext/controllers/status_updater.py
+++ b/erpnext/controllers/status_updater.py
@@ -53,6 +53,10 @@ status_map = {
 			"To Deliver",
 			"eval:self.per_delivered < 100 and self.per_billed >= 100 and self.docstatus == 1 and not self.skip_delivery_note",
 		],
+		[
+			"To Pay",
+			"eval:self.advance_payment_status == 'Requested' and self.docstatus == 1",
+		],
 		[
 			"Completed",
 			"eval:(self.per_delivered >= 100 or self.skip_delivery_note) and self.per_billed >= 100 and self.docstatus == 1",
@@ -63,15 +67,19 @@ status_map = {
 	],
 	"Purchase Order": [
 		["Draft", None],
-		[
-			"To Receive and Bill",
-			"eval:self.per_received < 100 and self.per_billed < 100 and self.docstatus == 1",
-		],
 		["To Bill", "eval:self.per_received >= 100 and self.per_billed < 100 and self.docstatus == 1"],
 		[
 			"To Receive",
 			"eval:self.per_received < 100 and self.per_billed == 100 and self.docstatus == 1",
 		],
+		[
+			"To Receive and Bill",
+			"eval:self.per_received < 100 and self.per_billed < 100 and self.docstatus == 1",
+		],
+		[
+			"To Pay",
+			"eval:self.advance_payment_status == 'Initiated' and self.docstatus == 1",
+		],
 		[
 			"Completed",
 			"eval:self.per_received >= 100 and self.per_billed == 100 and self.docstatus == 1",
diff --git a/erpnext/hooks.py b/erpnext/hooks.py
index 6efb893e630..e21d7bd79b8 100644
--- a/erpnext/hooks.py
+++ b/erpnext/hooks.py
@@ -481,7 +481,8 @@ payment_gateway_enabled = "erpnext.accounts.utils.create_payment_gateway_account
 
 communication_doctypes = ["Customer", "Supplier"]
 
-advance_payment_doctypes = ["Sales Order", "Purchase Order"]
+advance_payment_customer_doctypes = ["Sales Order"]
+advance_payment_supplier_doctypes = ["Purchase Order"]
 
 invoice_doctypes = ["Sales Invoice", "Purchase Invoice"]
 
diff --git a/erpnext/patches.txt b/erpnext/patches.txt
index 1110617e908..4ead7e71f0e 100644
--- a/erpnext/patches.txt
+++ b/erpnext/patches.txt
@@ -352,6 +352,7 @@ erpnext.patches.v14_0.update_zero_asset_quantity_field
 execute:frappe.db.set_single_value("Buying Settings", "project_update_frequency", "Each Transaction")
 execute:frappe.db.set_default("date_format", frappe.db.get_single_value("System Settings", "date_format"))
 erpnext.patches.v14_0.update_total_asset_cost_field
+erpnext.patches.v15_0.create_advance_payment_status
 # below migration patch should always run last
 erpnext.patches.v14_0.migrate_gl_to_payment_ledger
 erpnext.stock.doctype.delivery_note.patches.drop_unused_return_against_index # 2023-12-20
diff --git a/erpnext/patches/v15_0/create_advance_payment_status.py b/erpnext/patches/v15_0/create_advance_payment_status.py
new file mode 100644
index 00000000000..18ab9fa88c3
--- /dev/null
+++ b/erpnext/patches/v15_0/create_advance_payment_status.py
@@ -0,0 +1,54 @@
+import frappe
+
+
+def execute():
+	"""
+	Description:
+	Calculate the new Advance Payment Statuse column in SO & PO
+	"""
+
+	if frappe.reload_doc("selling", "doctype", "Sales Order"):
+		so = frappe.qb.DocType("Sales Order")
+		frappe.qb.update(so).set(so.advance_payment_status, "Not Requested").where(
+			so.docstatus == 1
+		).where(so.advance_paid == 0.0).run()
+
+		frappe.qb.update(so).set(so.advance_payment_status, "Partially Paid").where(
+			so.docstatus == 1
+		).where(so.advance_payment_status.isnull()).where(
+			so.advance_paid < (so.rounded_total or so.grand_total)
+		).run()
+
+		frappe.qb.update(so).set(so.advance_payment_status, "Fully Paid").where(so.docstatus == 1).where(
+			so.advance_payment_status.isnull()
+		).where(so.advance_paid == (so.rounded_total or so.grand_total)).run()
+
+		pr = frappe.qb.DocType("Payment Request")
+		frappe.qb.update(so).join(pr).on(so.name == pr.reference_name).set(
+			so.advance_payment_status, "Requested"
+		).where(so.docstatus == 1).where(pr.docstatus == 1).where(
+			so.advance_payment_status == "Not Requested"
+		).run()
+
+	if frappe.reload_doc("buying", "doctype", "Purchase Order"):
+		po = frappe.qb.DocType("Purchase Order")
+		frappe.qb.update(po).set(po.advance_payment_status, "Not Initiated").where(
+			po.docstatus == 1
+		).where(po.advance_paid == 0.0).run()
+
+		frappe.qb.update(po).set(po.advance_payment_status, "Partially Paid").where(
+			po.docstatus == 1
+		).where(po.advance_payment_status.isnull()).where(
+			po.advance_paid < (po.rounded_total or po.grand_total)
+		).run()
+
+		frappe.qb.update(po).set(po.advance_payment_status, "Fully Paid").where(po.docstatus == 1).where(
+			po.advance_payment_status.isnull()
+		).where(po.advance_paid == (po.rounded_total or po.grand_total)).run()
+
+		pr = frappe.qb.DocType("Payment Request")
+		frappe.qb.update(po).join(pr).on(po.name == pr.reference_name).set(
+			po.advance_payment_status, "Initiated"
+		).where(po.docstatus == 1).where(pr.docstatus == 1).where(
+			po.advance_payment_status == "Not Initiated"
+		).run()
diff --git a/erpnext/selling/doctype/sales_order/sales_order.json b/erpnext/selling/doctype/sales_order/sales_order.json
index 01d047ceadb..3c516d0ea37 100644
--- a/erpnext/selling/doctype/sales_order/sales_order.json
+++ b/erpnext/selling/doctype/sales_order/sales_order.json
@@ -131,6 +131,7 @@
   "per_billed",
   "per_picked",
   "billing_status",
+  "advance_payment_status",
   "sales_team_section_break",
   "sales_partner",
   "column_break7",
@@ -1269,7 +1270,7 @@
    "no_copy": 1,
    "oldfieldname": "status",
    "oldfieldtype": "Select",
-   "options": "\nDraft\nOn Hold\nTo Deliver and Bill\nTo Bill\nTo Deliver\nCompleted\nCancelled\nClosed",
+   "options": "\nDraft\nOn Hold\nTo Pay\nTo Deliver and Bill\nTo Bill\nTo Deliver\nCompleted\nCancelled\nClosed",
    "print_hide": 1,
    "read_only": 1,
    "reqd": 1,
@@ -1638,6 +1639,18 @@
    "no_copy": 1,
    "print_hide": 1,
    "report_hide": 1
+  },
+  {
+   "fieldname": "advance_payment_status",
+   "fieldtype": "Select",
+   "hidden": 1,
+   "hide_days": 1,
+   "hide_seconds": 1,
+   "in_standard_filter": 1,
+   "label": "Advance Payment Status",
+   "no_copy": 1,
+   "options": "Not Requested\nRequested\nPartially Paid\nFully Paid",
+   "print_hide": 1
   }
  ],
  "icon": "fa fa-file-text",
@@ -1722,4 +1735,4 @@
  "title_field": "customer_name",
  "track_changes": 1,
  "track_seen": 1
-}
\ No newline at end of file
+}
diff --git a/erpnext/selling/doctype/sales_order/sales_order.py b/erpnext/selling/doctype/sales_order/sales_order.py
index 5ef2c50146a..5d1d7695eb4 100755
--- a/erpnext/selling/doctype/sales_order/sales_order.py
+++ b/erpnext/selling/doctype/sales_order/sales_order.py
@@ -223,6 +223,8 @@ class SalesOrder(SellingController):
 			self.billing_status = "Not Billed"
 		if not self.delivery_status:
 			self.delivery_status = "Not Delivered"
+		if not self.advance_payment_status:
+			self.advance_payment_status = "Not Requested"
 
 		self.reset_default_field_value("set_warehouse", "items", "warehouse")
 
diff --git a/erpnext/selling/doctype/sales_order/sales_order_list.js b/erpnext/selling/doctype/sales_order/sales_order_list.js
index 518f0187260..37686a85c33 100644
--- a/erpnext/selling/doctype/sales_order/sales_order_list.js
+++ b/erpnext/selling/doctype/sales_order/sales_order_list.js
@@ -1,6 +1,6 @@
 frappe.listview_settings['Sales Order'] = {
 	add_fields: ["base_grand_total", "customer_name", "currency", "delivery_date",
-		"per_delivered", "per_billed", "status", "order_type", "name", "skip_delivery_note"],
+		"per_delivered", "per_billed", "status", "advance_payment_status", "order_type", "name", "skip_delivery_note"],
 	get_indicator: function (doc) {
 		if (doc.status === "Closed") {
 			// Closed
@@ -10,6 +10,8 @@ frappe.listview_settings['Sales Order'] = {
 			return [__("On Hold"), "orange", "status,=,On Hold"];
 		} else if (doc.status === "Completed") {
 			return [__("Completed"), "green", "status,=,Completed"];
+		} else if (doc.advance_payment_status === "Requested") {
+			return [__("To Pay"), "gray", "advance_payment_status,=,Requested"];
 		} else if (!doc.skip_delivery_note && flt(doc.per_delivered, 2) < 100) {
 			if (frappe.datetime.get_diff(doc.delivery_date) < 0) {
 			// not delivered & overdue
diff --git a/erpnext/selling/doctype/sales_order/test_sales_order.py b/erpnext/selling/doctype/sales_order/test_sales_order.py
index ac7fdb1b45a..5ae48ee5617 100644
--- a/erpnext/selling/doctype/sales_order/test_sales_order.py
+++ b/erpnext/selling/doctype/sales_order/test_sales_order.py
@@ -1996,6 +1996,33 @@ class TestSalesOrder(FrappeTestCase):
 				self.assertEqual(so.items[0].rate, scenario.get("expected_rate"))
 				self.assertEqual(so.packed_items[0].rate, scenario.get("expected_rate"))
 
+	def test_sales_order_advance_payment_status(self):
+		from erpnext.accounts.doctype.payment_entry.test_payment_entry import get_payment_entry
+		from erpnext.accounts.doctype.payment_request.payment_request import make_payment_request
+
+		so = make_sales_order(qty=1, rate=100)
+		self.assertEqual(
+			frappe.db.get_value(so.doctype, so.name, "advance_payment_status"), "Not Requested"
+		)
+
+		pr = make_payment_request(dt=so.doctype, dn=so.name, submit_doc=True, return_doc=True)
+		self.assertEqual(frappe.db.get_value(so.doctype, so.name, "advance_payment_status"), "Requested")
+
+		pe = get_payment_entry(so.doctype, so.name).save().submit()
+		self.assertEqual(
+			frappe.db.get_value(so.doctype, so.name, "advance_payment_status"), "Fully Paid"
+		)
+
+		pe.reload()
+		pe.cancel()
+		self.assertEqual(frappe.db.get_value(so.doctype, so.name, "advance_payment_status"), "Requested")
+
+		pr.reload()
+		pr.cancel()
+		self.assertEqual(
+			frappe.db.get_value(so.doctype, so.name, "advance_payment_status"), "Not Requested"
+		)
+
 
 def automatically_fetch_payment_terms(enable=1):
 	accounts_settings = frappe.get_doc("Accounts Settings")
diff --git a/erpnext/selling/report/payment_terms_status_for_sales_order/payment_terms_status_for_sales_order.py b/erpnext/selling/report/payment_terms_status_for_sales_order/payment_terms_status_for_sales_order.py
index 3682c5fd62e..00acc803d59 100644
--- a/erpnext/selling/report/payment_terms_status_for_sales_order/payment_terms_status_for_sales_order.py
+++ b/erpnext/selling/report/payment_terms_status_for_sales_order/payment_terms_status_for_sales_order.py
@@ -209,7 +209,7 @@ def get_so_with_invoices(filters):
 		)
 		.where(
 			(so.docstatus == 1)
-			& (so.status.isin(["To Deliver and Bill", "To Bill"]))
+			& (so.status.isin(["To Deliver and Bill", "To Bill", "To Pay"]))
 			& (so.payment_terms_template != "NULL")
 			& (so.company == conditions.company)
 			& (so.transaction_date[conditions.start_date : conditions.end_date])
diff --git a/erpnext/selling/report/sales_order_analysis/sales_order_analysis.js b/erpnext/selling/report/sales_order_analysis/sales_order_analysis.js
index ac3d3dbf710..fc685e0fe96 100644
--- a/erpnext/selling/report/sales_order_analysis/sales_order_analysis.js
+++ b/erpnext/selling/report/sales_order_analysis/sales_order_analysis.js
@@ -56,7 +56,7 @@ frappe.query_reports["Sales Order Analysis"] = {
 			"fieldtype": "MultiSelectList",
 			"width": "80",
 			get_data: function(txt) {
-				let status = ["To Bill", "To Deliver", "To Deliver and Bill", "Completed"]
+				let status = ["To Pay", "To Bill", "To Deliver", "To Deliver and Bill", "Completed"]
 				let options = []
 				for (let option of status){
 					options.push({