Why did the payment require a conversion rate when the option to require a conversion rate is disabled?

Regardless of how you set the Require conversion rate entry option, a payment requires a conversion rate if:

• The payment is in a foreign currency.

• The payment has an invoice that's subject to automatic withholding.

• Automatic withholding occurs at time of payment.

Note:

Invoices for automatically withheld taxes are always created in the ledger currency.