diff --git a/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.py b/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.py
index 31d575358ae..71c753c0adc 100644
--- a/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.py
+++ b/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.py
@@ -1126,9 +1126,6 @@ class PurchaseInvoice(BuyingController):
 
 		elif self.is_return and self.update_stock and (self.is_internal_supplier or not self.return_against):
 			net_rate = item.base_net_amount
-			if item.sales_incoming_rate:  # for internal transfer
-				net_rate = item.qty * item.sales_incoming_rate
-
 			stock_amount = net_rate + item.item_tax_amount + flt(item.landed_cost_voucher_amount)
 
 			if flt(stock_amount, net_amt_precision) != flt(warehouse_debit_amount, net_amt_precision):