Tax Not following the item distribution on AP invoices after a PO Match

 Hi Folks,

First off, I should mention that we have turned off eBTax calculation for AP invoices by un-checking the  "Allow Tax Applicability" for Standard Invoices in the COTO. We have not done anything for the Purchasing Application as I am not sure what should be done.

Now when I enter an Invoice w/o matching it to a PO, the tax line (entered manually) follows the item distribution. (GOOD!)

But when I match an Invoice to an Inventory PO, the tax line follows the Tax Rate Variance Account, which I checked is the PO Variance Account. Now I am guessing the reason is that there was no tax on the PO to begin with as eBTax did not calculate anything, so therefore the tax amount on the invoice (entered manually) hit the variance account?