APP-FND-00806 error when selecting ledger for Create Accounting

We are getting the APP-FND-00806. The default value RCI INR Tax is invlid for the Ledger. The default value will be ignored when trying to select parameter for the Create Accounting request for the Secondary Ledger.

Our tax book is attached to the Secondary Ledger - RCI INR Tax and the Corp Book is attached to the Primary Ledger RCI INR.

The primary and secondary ledgers share the same Accounting Flexfield and Currency but the Calendar is different.   

I have ensured the following:

1. In the profile option "GL Ledger Name", the value for the Primary Ledger is correctly selected.

2. In the Accounting Setup  Manager - SLA > Accounting Option  > Subledger Accounting Enabled > was not earlier enabled but I have enabled it now. But still the same result for create Accounting.