diff --git a/erpnext/controllers/accounts_controller.py b/erpnext/controllers/accounts_controller.py
index 27c31eb..28757c5 100644
--- a/erpnext/controllers/accounts_controller.py
+++ b/erpnext/controllers/accounts_controller.py
@@ -552,6 +552,17 @@
 			from erpnext.accounts.utils import reconcile_against_document
 			reconcile_against_document(lst)
 
+	def on_cancel(self):
+		from erpnext.accounts.utils import unlink_ref_doc_from_payment_entries
+
+		if self.doctype in ["Sales Invoice", "Purchase Invoice"]:
+			if frappe.db.get_single_value('Accounts Settings', 'unlink_payment_on_cancellation_of_invoice'):
+				unlink_ref_doc_from_payment_entries(self)
+
+		elif self.doctype in ["Sales Order", "Purchase Order"]:
+			if frappe.db.get_single_value('Accounts Settings', 'unlink_advance_payment_on_cancellation_of_order'):
+				unlink_ref_doc_from_payment_entries(self)
+
 	def validate_multiple_billing(self, ref_dt, item_ref_dn, based_on, parentfield):
 		from erpnext.controllers.status_updater import get_tolerance_for
 		item_tolerance = {}
diff --git a/erpnext/controllers/buying_controller.py b/erpnext/controllers/buying_controller.py
index a1dfffe..2dd1e61 100644
--- a/erpnext/controllers/buying_controller.py
+++ b/erpnext/controllers/buying_controller.py
@@ -531,6 +531,8 @@
 		update_last_purchase_rate(self, is_submit = 1)
 
 	def on_cancel(self):
+		super(BuyingController, self).on_cancel()
+
 		if self.get('is_return'):
 			return