Auto Receipt is a display only field in order, which gets picked up automatically from distribution order type. However it is a selection field in distribution order type.
When it is yes, then an automatic receipt will be created automatically at the consignee location. a distribution receipt is automatically generated when the distribution issue is confirmed.
After distribution order confirmation users can create distribution issues. In the item details in order, the quantity received by the receiving site gets updated immediately after the Distribution Receipt confirmed.
If Auto Receipt is ‘No’ in distribution type then distribution receipt is not generated on distribution issue confirmation.