diff --git a/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.js b/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.js
index 1fb3cfb0d2d..dd7b2395c33 100644
--- a/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.js
+++ b/erpnext/accounts/doctype/purchase_invoice/purchase_invoice.js
@@ -275,8 +275,11 @@ erpnext.accounts.PurchaseInvoice = erpnext.buying.BuyingController.extend({
 
 	supplier: function() {
 		var me = this;
-		if(this.frm.updating_party_details)
+
+		// Do not update if inter company reference is there as the details will already be updated
+		if(this.frm.updating_party_details || this.frm.doc.inter_company_invoice_reference)
 			return;
+
 		erpnext.utils.get_party_details(this.frm, "erpnext.accounts.party.get_party_details",
 			{
 				posting_date: this.frm.doc.posting_date,
diff --git a/erpnext/accounts/doctype/sales_invoice/sales_invoice.py b/erpnext/accounts/doctype/sales_invoice/sales_invoice.py
index c38816ef611..f84048dc244 100644
--- a/erpnext/accounts/doctype/sales_invoice/sales_invoice.py
+++ b/erpnext/accounts/doctype/sales_invoice/sales_invoice.py
@@ -6,7 +6,7 @@ import frappe, erpnext
 import frappe.defaults
 from frappe.utils import cint, flt, add_months, today, date_diff, getdate, add_days, cstr, nowdate, get_link_to_form
 from frappe import _, msgprint, throw
-from erpnext.accounts.party import get_party_account, get_due_date
+from erpnext.accounts.party import get_party_account, get_due_date, get_party_details
 from frappe.model.mapper import get_mapped_doc
 from erpnext.controllers.selling_controller import SellingController
 from erpnext.accounts.utils import get_account_currency
@@ -1618,6 +1618,11 @@ def make_inter_company_transaction(doctype, source_name, target_doc=None):
 
 			if currency:
 				target_doc.currency = currency
+
+			update_taxes(target_doc, party=target_doc.supplier, party_type='Supplier', company=target_doc.company,
+				doctype=target_doc.doctype, party_address=target_doc.supplier_address,
+				company_address=target_doc.shipping_address)
+
 		else:
 			currency = frappe.db.get_value('Customer', details.get('party'), 'default_currency')
 			target_doc.company = details.get("company")
@@ -1631,6 +1636,10 @@ def make_inter_company_transaction(doctype, source_name, target_doc=None):
 			if currency:
 				target_doc.currency = currency
 
+			update_taxes(target_doc, party=target_doc.customer, party_type='Customer', company=target_doc.company,
+				doctype=target_doc.doctype, party_address=target_doc.customer_address,
+				company_address=target_doc.company_address, shipping_address_name=target_doc.shipping_address_name)
+
 	item_field_map = {
 		"doctype": target_doctype + " Item",
 		"field_no_map": [
@@ -1673,6 +1682,18 @@ def make_inter_company_transaction(doctype, source_name, target_doc=None):
 
 	return doclist
 
+def update_taxes(doc, party=None, party_type=None, company=None, doctype=None, party_address=None,
+	company_address=None, shipping_address_name=None, master_doctype=None):
+	# Update Party Details
+	party_details = get_party_details(party=party, party_type=party_type, company=company,
+		doctype=doctype, party_address=party_address, company_address=company_address,
+		shipping_address=shipping_address_name)
+
+	# Update taxes and charges if any
+	doc.taxes_and_charges = party_details.get('taxes_and_charges')
+	if party_details.get('taxes'):
+		doc.set('taxes', party_details.get('taxes'))
+
 def update_address(doc, address_field, address_display_field, address_name):
 	doc.set(address_field, address_name)
 	fetch_values = get_fetch_values(doc.doctype, address_field, address_name)
diff --git a/erpnext/stock/doctype/delivery_note/delivery_note.py b/erpnext/stock/doctype/delivery_note/delivery_note.py
index a019b86d49c..e06e4955f66 100644
--- a/erpnext/stock/doctype/delivery_note/delivery_note.py
+++ b/erpnext/stock/doctype/delivery_note/delivery_note.py
@@ -665,7 +665,7 @@ def make_inter_company_purchase_receipt(source_name, target_doc=None):
 
 def make_inter_company_transaction(doctype, source_name, target_doc=None):
 	from erpnext.accounts.doctype.sales_invoice.sales_invoice import (validate_inter_company_transaction,
-		get_inter_company_details, update_address)
+		get_inter_company_details, update_address, update_taxes)
 
 	if doctype == 'Delivery Note':
 		source_doc = frappe.get_doc(doctype, source_name)
@@ -705,6 +705,10 @@ def make_inter_company_transaction(doctype, source_name, target_doc=None):
 			# Invert the address on target doc creation
 			update_address(target_doc, 'supplier_address', 'address_display', source_doc.company_address)
 			update_address(target_doc, 'shipping_address', 'shipping_address_display', source_doc.customer_address)
+
+			update_taxes(target_doc, party=target_doc.supplier, party_type='Supplier', company=target_doc.company,
+				doctype=target_doc.doctype, party_address=target_doc.supplier_address,
+				company_address=target_doc.shipping_address)
 		else:
 			target_doc.company = details.get("company")
 			target_doc.customer = details.get("party")
@@ -718,6 +722,10 @@ def make_inter_company_transaction(doctype, source_name, target_doc=None):
 			update_address(target_doc, 'shipping_address_name', 'shipping_address', source_doc.shipping_address)
 			update_address(target_doc, 'customer_address', 'address_display', source_doc.shipping_address)
 
+			update_taxes(target_doc, party=target_doc.customer, party_type='Customer', company=target_doc.company,
+				doctype=target_doc.doctype, party_address=target_doc.customer_address,
+				company_address=target_doc.company_address, shipping_address_name=target_doc.shipping_address_name)
+
 	doclist = get_mapped_doc(doctype, source_name,	{
 		doctype: {
 			"doctype": target_doctype,