diff --git a/apps/workspaces/migrations/0038_auto_20230321_0732.py b/apps/workspaces/migrations/0038_auto_20230321_0732.py
new file mode 100644
index 00000000..9e592152
--- /dev/null
+++ b/apps/workspaces/migrations/0038_auto_20230321_0732.py
@@ -0,0 +1,18 @@
+# Generated by Django 3.1.14 on 2023-03-21 07:32
+
+from django.db import migrations, models
+
+
+class Migration(migrations.Migration):
+
+    dependencies = [
+        ('workspaces', '0037_auto_20230125_0735'),
+    ]
+
+    operations = [
+        migrations.AlterField(
+            model_name='workspacegeneralsettings',
+            name='is_simplify_report_closure_enabled',
+            field=models.BooleanField(default=True, help_text='Simplify report closure is enabled'),
+        ),
+    ]
diff --git a/apps/workspaces/models.py b/apps/workspaces/models.py
index 6cc10b34..f948ebcf 100644
--- a/apps/workspaces/models.py
+++ b/apps/workspaces/models.py
@@ -119,7 +119,7 @@ class WorkspaceGeneralSettings(models.Model):
     auto_create_merchants_as_vendors = models.BooleanField(default=False, help_text='Auto create Fyle Merchants as QBO vendors')
     sync_fyle_to_qbo_payments = models.BooleanField(default=False, help_text='Auto Sync Payments from Fyle to QBO')
     sync_qbo_to_fyle_payments = models.BooleanField(default=False, help_text='Auto Sync Payments from QBO to Fyle')
-    is_simplify_report_closure_enabled = models.BooleanField(default=False,
+    is_simplify_report_closure_enabled = models.BooleanField(default=True,
         help_text='Simplify report closure is enabled')
     category_sync_version = models.CharField(default='v2', max_length=50, help_text='Category sync version')
     je_single_credit_line = models.BooleanField(default=False, help_text='Single Credit Line for Journal Entries')