“Merchant not enabled for reference transactions”

Hello Team,

Thank you for your efforts in maintaining this complex integration with PayPal. As a developer, I understand the challenges involved.

I would like to take a moment to describe our current situation, which is somewhat unusual.

Websites:

http://www.quadmenu.com
http://www.quadlayers.com

Setup:

PHP 8.2
WordPress 6.5.1
WooCommerce 8.9.1
WooCommerce Subscriptions 6.3.1

PayPal:

Country: Uruguay

WooCommerce Subscriptions:

Virtual products with annual renewal periods.

Issue:
All renewal orders for WooCommerce Subscriptions related to PayPal from both websites are being rejected with the following error code:

https://snipboard.io/khNvVa.jpg

<span id="L29" class="line log-entry" style="display: block; width: 1526px; position: relative; color: rgb(60, 67, 74); font-family: Consolas, Monaco, monospace; font-size: 13px;"><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;"><span class="log-timestamp" style="font-weight: 700;">2024-06-01T09:48:57+00:00</span> <span class="log-level log-level--info" style="display: inline; padding: 0px 0.5em; font-weight: 700; line-height: 1; color: rgb(0, 0, 0); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial; text-align: center; white-space: nowrap; vertical-align: baseline; border-width: 0.16em 0.16em 0.16em 1em; border-top-left-radius: 0.5em; border-bottom-left-radius: 0.5em; border-color: rgb(0, 116, 217);">Info</span> Subscription Request Response: Array
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">(
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">    [code] => 200
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">    [message] => OK
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">    [headers] => WpOrg\Requests\Utility\CaseInsensitiveDictionary Object
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">        (
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">            [data:protected] => Array
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">                (
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">                    [content-type] => text/plain; charset=utf-8
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">                    [content-length] => 293
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">                    [date] => Sat, 01 Jun 2024 09:48:57 GMT
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">                    [cache-control] => max-age=0, no-cache, no-store, must-revalidate
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">                    [paypal-debug-id] => xx
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">                    [traceparent] => xx
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">                    [vary] => Accept-Encoding
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">                    [x-paypal-api-rc] => 11452
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">                    [x-paypal-operation-name] => SetExpressCheckout
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">                    [strict-transport-security] => max-age=31536000; includeSubDomains
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">                )
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">        )
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">    [body] => Array
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">(
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">    [TIMESTAMP] => 2024-06-01T09:48:57Z
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">    [CORRELATIONID] => xx
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">    [ACK] => Failure
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">    [VERSION] => 124
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">    [BUILD] => xx
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">    [L_ERRORCODE0] => 11452
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">    [L_SHORTMESSAGE0] => Merchant not enabled for reference transactions
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">    [L_LONGMESSAGE0] => Merchant not enabled for reference transactions
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">    [L_SEVERITYCODE0] => Error
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">)
</span><span class="line-content" style="display: block; overflow: hidden; padding: 0px 1em; border-left: 1px solid rgb(195, 196, 199); background-image: initial; background-position: initial; background-size: initial; background-repeat: initial; background-attachment: initial; background-origin: initial; background-clip: initial;">
</span>)</span>

PayPal Support:
I have contacted PayPal support multiple times, and they have confirmed that reference transactions on my account are approved.

Test:
I created a test subscription with a one-day renewal period and made the payment from another PayPal account. The renewal orders were successfully fulfilled.

https://snipboard.io/khMsa4.jpg

I would greatly appreciate it if you could help identify the root cause of this issue and suggest potential solutions, as this problem is significantly impacting our business.

Best regards