diff --git a/erpnext/controllers/buying_controller.py b/erpnext/controllers/buying_controller.py
index 3a69e71..eda3686 100644
--- a/erpnext/controllers/buying_controller.py
+++ b/erpnext/controllers/buying_controller.py
@@ -463,7 +463,10 @@
 		stock_items = self.get_stock_items()
 
 		for d in self.get("items"):
-			if d.item_code in stock_items and d.warehouse:
+			if d.item_code not in stock_items:
+				continue
+
+			if d.warehouse:
 				pr_qty = flt(d.qty) * flt(d.conversion_factor)
 
 				if pr_qty:
@@ -488,6 +491,7 @@
 					sle = self.get_sl_entries(
 						d, {"actual_qty": flt(pr_qty), "serial_no": cstr(d.serial_no).strip()}
 					)
+
 					if self.is_return:
 						outgoing_rate = get_rate_for_return(
 							self.doctype, self.name, d.item_code, self.return_against, item_row=d
@@ -517,18 +521,18 @@
 
 						sl_entries.append(from_warehouse_sle)
 
-				if flt(d.rejected_qty) != 0:
-					sl_entries.append(
-						self.get_sl_entries(
-							d,
-							{
-								"warehouse": d.rejected_warehouse,
-								"actual_qty": flt(d.rejected_qty) * flt(d.conversion_factor),
-								"serial_no": cstr(d.rejected_serial_no).strip(),
-								"incoming_rate": 0.0,
-							},
-						)
+			if flt(d.rejected_qty) != 0:
+				sl_entries.append(
+					self.get_sl_entries(
+						d,
+						{
+							"warehouse": d.rejected_warehouse,
+							"actual_qty": flt(d.rejected_qty) * flt(d.conversion_factor),
+							"serial_no": cstr(d.rejected_serial_no).strip(),
+							"incoming_rate": 0.0,
+						},
 					)
+				)
 
 		self.make_sl_entries_for_supplier_warehouse(sl_entries)
 		self.make_sl_entries(
diff --git a/erpnext/stock/doctype/purchase_receipt/test_purchase_receipt.py b/erpnext/stock/doctype/purchase_receipt/test_purchase_receipt.py
index bfbdd56..f3faba4 100644
--- a/erpnext/stock/doctype/purchase_receipt/test_purchase_receipt.py
+++ b/erpnext/stock/doctype/purchase_receipt/test_purchase_receipt.py
@@ -647,6 +647,45 @@
 		return_pr.cancel()
 		pr.cancel()
 
+	def test_purchase_receipt_for_rejected_gle_without_accepted_warehouse(self):
+		from erpnext.stock.doctype.warehouse.test_warehouse import get_warehouse
+
+		rejected_warehouse = "_Test Rejected Warehouse - TCP1"
+		if not frappe.db.exists("Warehouse", rejected_warehouse):
+			get_warehouse(
+				company="_Test Company with perpetual inventory",
+				abbr=" - TCP1",
+				warehouse_name="_Test Rejected Warehouse",
+			).name
+
+		pr = make_purchase_receipt(
+			company="_Test Company with perpetual inventory",
+			warehouse="Stores - TCP1",
+			received_qty=2,
+			rejected_qty=2,
+			rejected_warehouse=rejected_warehouse,
+			do_not_save=True,
+		)
+
+		pr.items[0].qty = 0.0
+		pr.items[0].warehouse = ""
+		pr.submit()
+
+		actual_qty = frappe.db.get_value(
+			"Stock Ledger Entry",
+			{
+				"voucher_type": "Purchase Receipt",
+				"voucher_no": pr.name,
+				"warehouse": pr.items[0].rejected_warehouse,
+				"is_cancelled": 0,
+			},
+			"actual_qty",
+		)
+
+		self.assertEqual(actual_qty, 2)
+		self.assertFalse(pr.items[0].warehouse)
+		pr.cancel()
+
 	def test_purchase_return_for_serialized_items(self):
 		def _check_serial_no_values(serial_no, field_values):
 			serial_no = frappe.get_doc("Serial No", serial_no)