diff --git a/erpnext/accounts/doctype/payment_request/payment_request.py b/erpnext/accounts/doctype/payment_request/payment_request.py
index c2e01c4..5f7fa72 100644
--- a/erpnext/accounts/doctype/payment_request/payment_request.py
+++ b/erpnext/accounts/doctype/payment_request/payment_request.py
@@ -110,6 +110,21 @@
 		elif self.payment_channel == "Phone":
 			self.request_phone_payment()
 
+		if (
+			self.reference_doctype in ["Sales Order"] and ref_doc.advance_payment_status == "Not Requested"
+		):
+			ref_doc.db_set("advance_payment_status", "Requested")
+			ref_doc.set_status(update=True)
+			ref_doc.notify_update()
+
+		if (
+			self.reference_doctype in ["Purchase Order"]
+			and ref_doc.advance_payment_status == "Not Initiated"
+		):
+			ref_doc.db_set("advance_payment_status", "Initiated")
+			ref_doc.set_status(update=True)
+			ref_doc.notify_update()
+
 	def request_phone_payment(self):
 		controller = _get_payment_gateway_controller(self.payment_gateway)
 		request_amount = self.get_request_amount()
@@ -148,6 +163,39 @@
 		self.check_if_payment_entry_exists()
 		self.set_as_cancelled()
 
+		if self.reference_doctype in ["Sales Order", "Purchase Order"]:
+
+			ref_doc = frappe.get_doc(self.reference_doctype, self.reference_name)
+			if self.reference_doctype in ["Sales Order"] and ref_doc.advance_payment_status == "Requested":
+				peer_pr = frappe.db.count(
+					"Payment Request",
+					{
+						"reference_doctype": self.reference_doctype,
+						"reference_name": self.reference_name,
+						"docstatus": 1,
+					},
+				)
+				if not peer_pr:
+					ref_doc.db_set("advance_payment_status", "Not Requested")
+					ref_doc.set_status(update=True)
+					ref_doc.notify_update()
+
+			if (
+				self.reference_doctype in ["Purchase Order"] and ref_doc.advance_payment_status == "Initiated"
+			):
+				peer_pr = frappe.db.count(
+					"Payment Request",
+					{
+						"reference_doctype": self.reference_doctype,
+						"reference_name": self.reference_name,
+						"docstatus": 1,
+					},
+				)
+				if not peer_pr:
+					ref_doc.db_set("advance_payment_status", "Not Initiated")
+					ref_doc.set_status(update=True)
+					ref_doc.notify_update()
+
 	def make_invoice(self):
 		ref_doc = frappe.get_doc(self.reference_doctype, self.reference_name)
 		if hasattr(ref_doc, "order_type") and getattr(ref_doc, "order_type") == "Shopping Cart":
diff --git a/erpnext/buying/doctype/purchase_order/purchase_order.json b/erpnext/buying/doctype/purchase_order/purchase_order.json
index f74df66..97f2310 100644
--- a/erpnext/buying/doctype/purchase_order/purchase_order.json
+++ b/erpnext/buying/doctype/purchase_order/purchase_order.json
@@ -134,6 +134,7 @@
   "more_info_tab",
   "tracking_section",
   "status",
+  "advance_payment_status",
   "column_break_75",
   "per_billed",
   "per_received",
@@ -1269,13 +1270,25 @@
    "fieldtype": "Tab Break",
    "label": "Connections",
    "show_dashboard": 1
+  },
+  {
+   "fieldname": "advance_payment_status",
+   "fieldtype": "Select",
+   "hidden": 1,
+   "in_standard_filter": 1,
+   "label": "Advance Payment Status",
+   "no_copy": 1,
+   "oldfieldname": "status",
+   "oldfieldtype": "Select",
+   "options": "Not Initiated\nInitiated\nPartially Paid\nPaid",
+   "print_hide": 1
   }
  ],
  "icon": "fa fa-file-text",
  "idx": 105,
  "is_submittable": 1,
  "links": [],
- "modified": "2023-10-01 20:58:07.851037",
+ "modified": "2023-10-10 13:37:40.158761",
  "modified_by": "Administrator",
  "module": "Buying",
  "name": "Purchase Order",
@@ -1330,4 +1343,4 @@
  "timeline_field": "supplier",
  "title_field": "supplier_name",
  "track_changes": 1
-}
\ No newline at end of file
+}
diff --git a/erpnext/buying/doctype/purchase_order/purchase_order.py b/erpnext/buying/doctype/purchase_order/purchase_order.py
index 961697c..2d7dbd6 100644
--- a/erpnext/buying/doctype/purchase_order/purchase_order.py
+++ b/erpnext/buying/doctype/purchase_order/purchase_order.py
@@ -349,6 +349,9 @@
 		self.validate_budget()
 		self.update_reserved_qty_for_subcontract()
 
+		if not self.advance_payment_status:
+			self.advance_payment_status = "Not Initiated"
+
 		frappe.get_doc("Authorization Control").validate_approving_authority(
 			self.doctype, self.company, self.base_grand_total
 		)
diff --git a/erpnext/buying/doctype/purchase_order/purchase_order_list.js b/erpnext/buying/doctype/purchase_order/purchase_order_list.js
index 6594746..d39d7f9 100644
--- a/erpnext/buying/doctype/purchase_order/purchase_order_list.js
+++ b/erpnext/buying/doctype/purchase_order/purchase_order_list.js
@@ -1,6 +1,6 @@
 frappe.listview_settings['Purchase Order'] = {
 	add_fields: ["base_grand_total", "company", "currency", "supplier",
-		"supplier_name", "per_received", "per_billed", "status"],
+		"supplier_name", "per_received", "per_billed", "status", "advance_payment_status"],
 	get_indicator: function (doc) {
 		if (doc.status === "Closed") {
 			return [__("Closed"), "green", "status,=,Closed"];
@@ -8,6 +8,8 @@
 			return [__("On Hold"), "orange", "status,=,On Hold"];
 		} else if (doc.status === "Delivered") {
 			return [__("Delivered"), "green", "status,=,Closed"];
+		} else if (doc.advance_payment_status == "Initiated") {
+			return [__("To Pay"), "gray", "advance_payment_status,=,Initiated"];
 		} else if (flt(doc.per_received, 2) < 100 && doc.status !== "Closed") {
 			if (flt(doc.per_billed, 2) < 100) {
 				return [__("To Receive and Bill"), "orange",
diff --git a/erpnext/buying/report/purchase_order_analysis/purchase_order_analysis.js b/erpnext/buying/report/purchase_order_analysis/purchase_order_analysis.js
index 91506c0..3bf4f2b 100644
--- a/erpnext/buying/report/purchase_order_analysis/purchase_order_analysis.js
+++ b/erpnext/buying/report/purchase_order_analysis/purchase_order_analysis.js
@@ -54,7 +54,7 @@
 			"fieldtype": "MultiSelectList",
 			"width": "80",
 			get_data: function(txt) {
-				let status = ["To Bill", "To Receive", "To Receive and Bill", "Completed"]
+				let status = ["To Pay", "To Bill", "To Receive", "To Receive and Bill", "Completed"]
 				let options = []
 				for (let option of status){
 					options.push({
diff --git a/erpnext/controllers/accounts_controller.py b/erpnext/controllers/accounts_controller.py
index 38c1e82..c129b76 100644
--- a/erpnext/controllers/accounts_controller.py
+++ b/erpnext/controllers/accounts_controller.py
@@ -1714,6 +1714,12 @@
 				)
 
 			frappe.db.set_value(self.doctype, self.name, "advance_paid", advance_paid)
+			frappe.db.set_value(
+				self.doctype,
+				self.name,
+				"advance_payment_status",
+				"Partially Paid" if advance_paid < order_total else "Paid",
+			)
 
 	@property
 	def company_abbr(self):
diff --git a/erpnext/controllers/status_updater.py b/erpnext/controllers/status_updater.py
index d09001c..1317266 100644
--- a/erpnext/controllers/status_updater.py
+++ b/erpnext/controllers/status_updater.py
@@ -54,6 +54,10 @@
 			"eval:self.per_delivered < 100 and self.per_billed >= 100 and self.docstatus == 1 and not self.skip_delivery_note",
 		],
 		[
+			"To Pay",
+			"eval:self.advance_payment_status == 'Requested' and self.docstatus == 1",
+		],
+		[
 			"Completed",
 			"eval:(self.per_delivered >= 100 or self.skip_delivery_note) and self.per_billed >= 100 and self.docstatus == 1",
 		],
@@ -63,16 +67,20 @@
 	],
 	"Purchase Order": [
 		["Draft", None],
-		[
-			"To Receive and Bill",
-			"eval:self.per_received < 100 and self.per_billed < 100 and self.docstatus == 1",
-		],
 		["To Bill", "eval:self.per_received >= 100 and self.per_billed < 100 and self.docstatus == 1"],
 		[
 			"To Receive",
 			"eval:self.per_received < 100 and self.per_billed == 100 and self.docstatus == 1",
 		],
 		[
+			"To Receive and Bill",
+			"eval:self.per_received < 100 and self.per_billed < 100 and self.docstatus == 1",
+		],
+		[
+			"To Pay",
+			"eval:self.advance_payment_status == 'Initiated' and self.docstatus == 1",
+		],
+		[
 			"Completed",
 			"eval:self.per_received >= 100 and self.per_billed == 100 and self.docstatus == 1",
 		],
diff --git a/erpnext/patches.txt b/erpnext/patches.txt
index 0aeadce..d5aa11d 100644
--- a/erpnext/patches.txt
+++ b/erpnext/patches.txt
@@ -350,5 +350,6 @@
 erpnext.patches.v15_0.rename_daily_depreciation_to_depreciation_amount_based_on_num_days_in_month
 erpnext.patches.v15_0.rename_depreciation_amount_based_on_num_days_in_month_to_daily_prorata_based
 erpnext.patches.v15_0.set_reserved_stock_in_bin
+erpnext.patches.v15_0.create_advance_payment_status
 # below migration patch should always run last
 erpnext.patches.v14_0.migrate_gl_to_payment_ledger
diff --git a/erpnext/patches/v15_0/create_advance_payment_status.py b/erpnext/patches/v15_0/create_advance_payment_status.py
new file mode 100644
index 0000000..ff5ba8f
--- /dev/null
+++ b/erpnext/patches/v15_0/create_advance_payment_status.py
@@ -0,0 +1,54 @@
+import frappe
+
+
+def execute():
+	"""
+	Description:
+	Calculate the new Advance Payment Statuse column in SO & PO
+	"""
+
+	if frappe.reload_doc("selling", "doctype", "Sales Order"):
+		so = frappe.qb.DocType("Sales Order")
+		frappe.qb.update(so).set(so.advance_payment_status, "Not Requested").where(
+			so.docstatus == 1
+		).where(so.advance_paid == 0.0).run()
+
+		frappe.qb.update(so).set(so.advance_payment_status, "Partially Paid").where(
+			so.docstatus == 1
+		).where(so.advance_payment_status.isnull()).where(
+			so.advance_paid < (so.rounded_total or so.grand_total)
+		).run()
+
+		frappe.qb.update(so).set(so.advance_payment_status, "Paid").where(so.docstatus == 1).where(
+			so.advance_payment_status.isnull()
+		).where(so.advance_paid == (so.rounded_total or so.grand_total)).run()
+
+		pr = frappe.qb.DocType("Payment Request")
+		frappe.qb.update(so).join(pr).on(so.name == pr.reference_name).set(
+			so.advance_payment_status, "Requested"
+		).where(so.docstatus == 1).where(pr.docstatus == 1).where(
+			so.advance_payment_status == "Not Requested"
+		).run()
+
+	if frappe.reload_doc("buying", "doctype", "Purchase Order"):
+		po = frappe.qb.DocType("Purchase Order")
+		frappe.qb.update(po).set(po.advance_payment_status, "Not Initiated").where(
+			po.docstatus == 1
+		).where(po.advance_paid == 0.0).run()
+
+		frappe.qb.update(po).set(po.advance_payment_status, "Partially Paid").where(
+			po.docstatus == 1
+		).where(po.advance_payment_status.isnull()).where(
+			po.advance_paid < (po.rounded_total or po.grand_total)
+		).run()
+
+		frappe.qb.update(po).set(po.advance_payment_status, "Paid").where(po.docstatus == 1).where(
+			po.advance_payment_status.isnull()
+		).where(po.advance_paid == (po.rounded_total or po.grand_total)).run()
+
+		pr = frappe.qb.DocType("Payment Request")
+		frappe.qb.update(po).join(pr).on(po.name == pr.reference_name).set(
+			po.advance_payment_status, "Initiated"
+		).where(po.docstatus == 1).where(pr.docstatus == 1).where(
+			po.advance_payment_status == "Not Initiated"
+		).run()
diff --git a/erpnext/selling/doctype/sales_order/sales_order.json b/erpnext/selling/doctype/sales_order/sales_order.json
index 01d047c..5b80dfd 100644
--- a/erpnext/selling/doctype/sales_order/sales_order.json
+++ b/erpnext/selling/doctype/sales_order/sales_order.json
@@ -131,6 +131,7 @@
   "per_billed",
   "per_picked",
   "billing_status",
+  "advance_payment_status",
   "sales_team_section_break",
   "sales_partner",
   "column_break7",
@@ -1269,7 +1270,7 @@
    "no_copy": 1,
    "oldfieldname": "status",
    "oldfieldtype": "Select",
-   "options": "\nDraft\nOn Hold\nTo Deliver and Bill\nTo Bill\nTo Deliver\nCompleted\nCancelled\nClosed",
+   "options": "\nDraft\nOn Hold\nTo Pay\nTo Deliver and Bill\nTo Bill\nTo Deliver\nCompleted\nCancelled\nClosed",
    "print_hide": 1,
    "read_only": 1,
    "reqd": 1,
@@ -1638,6 +1639,18 @@
    "no_copy": 1,
    "print_hide": 1,
    "report_hide": 1
+  },
+  {
+   "fieldname": "advance_payment_status",
+   "fieldtype": "Select",
+   "hidden": 1,
+   "hide_days": 1,
+   "hide_seconds": 1,
+   "in_standard_filter": 1,
+   "label": "Advance Payment Status",
+   "no_copy": 1,
+   "options": "Not Requested\nRequested\nPartially Paid\nPaid",
+   "print_hide": 1
   }
  ],
  "icon": "fa fa-file-text",
@@ -1722,4 +1735,4 @@
  "title_field": "customer_name",
  "track_changes": 1,
  "track_seen": 1
-}
\ No newline at end of file
+}
diff --git a/erpnext/selling/doctype/sales_order/sales_order.py b/erpnext/selling/doctype/sales_order/sales_order.py
index e4f1a28..56ae196 100755
--- a/erpnext/selling/doctype/sales_order/sales_order.py
+++ b/erpnext/selling/doctype/sales_order/sales_order.py
@@ -89,6 +89,8 @@
 			self.billing_status = "Not Billed"
 		if not self.delivery_status:
 			self.delivery_status = "Not Delivered"
+		if not self.advance_payment_status:
+			self.advance_payment_status = "Not Requested"
 
 		self.reset_default_field_value("set_warehouse", "items", "warehouse")
 
diff --git a/erpnext/selling/doctype/sales_order/sales_order_list.js b/erpnext/selling/doctype/sales_order/sales_order_list.js
index 518f018..37686a8 100644
--- a/erpnext/selling/doctype/sales_order/sales_order_list.js
+++ b/erpnext/selling/doctype/sales_order/sales_order_list.js
@@ -1,6 +1,6 @@
 frappe.listview_settings['Sales Order'] = {
 	add_fields: ["base_grand_total", "customer_name", "currency", "delivery_date",
-		"per_delivered", "per_billed", "status", "order_type", "name", "skip_delivery_note"],
+		"per_delivered", "per_billed", "status", "advance_payment_status", "order_type", "name", "skip_delivery_note"],
 	get_indicator: function (doc) {
 		if (doc.status === "Closed") {
 			// Closed
@@ -10,6 +10,8 @@
 			return [__("On Hold"), "orange", "status,=,On Hold"];
 		} else if (doc.status === "Completed") {
 			return [__("Completed"), "green", "status,=,Completed"];
+		} else if (doc.advance_payment_status === "Requested") {
+			return [__("To Pay"), "gray", "advance_payment_status,=,Requested"];
 		} else if (!doc.skip_delivery_note && flt(doc.per_delivered, 2) < 100) {
 			if (frappe.datetime.get_diff(doc.delivery_date) < 0) {
 			// not delivered & overdue
diff --git a/erpnext/selling/report/payment_terms_status_for_sales_order/payment_terms_status_for_sales_order.py b/erpnext/selling/report/payment_terms_status_for_sales_order/payment_terms_status_for_sales_order.py
index 3682c5f..00acc80 100644
--- a/erpnext/selling/report/payment_terms_status_for_sales_order/payment_terms_status_for_sales_order.py
+++ b/erpnext/selling/report/payment_terms_status_for_sales_order/payment_terms_status_for_sales_order.py
@@ -209,7 +209,7 @@
 		)
 		.where(
 			(so.docstatus == 1)
-			& (so.status.isin(["To Deliver and Bill", "To Bill"]))
+			& (so.status.isin(["To Deliver and Bill", "To Bill", "To Pay"]))
 			& (so.payment_terms_template != "NULL")
 			& (so.company == conditions.company)
 			& (so.transaction_date[conditions.start_date : conditions.end_date])
diff --git a/erpnext/selling/report/sales_order_analysis/sales_order_analysis.js b/erpnext/selling/report/sales_order_analysis/sales_order_analysis.js
index ac3d3db..fc685e0 100644
--- a/erpnext/selling/report/sales_order_analysis/sales_order_analysis.js
+++ b/erpnext/selling/report/sales_order_analysis/sales_order_analysis.js
@@ -56,7 +56,7 @@
 			"fieldtype": "MultiSelectList",
 			"width": "80",
 			get_data: function(txt) {
-				let status = ["To Bill", "To Deliver", "To Deliver and Bill", "Completed"]
+				let status = ["To Pay", "To Bill", "To Deliver", "To Deliver and Bill", "Completed"]
 				let options = []
 				for (let option of status){
 					options.push({