Possibly all accounts have been setup as 'Balance Sheet' type accounts.  Check the setup off the accounts.

This is the first thing I checked. I verified that the expense accounts are setup as 'Income Statement' type. I tried the Create New Year multiple times on a test copy of the database with the same results -- closing entries not generated. This is v2018.

Go to G/L Setup - Options and click the Posting Tab... What is your Current Fiscal Year?

When you run Create New Year, what error message(s) does it return?

Posting Tab shows Current Fiscal Year as 2020.

When running Create New Year, there is no any error.

On a test copy, I did consecutive Create New Year and the year changed from 2019 to 2020 to 2021 to 2022 without any error but not closing entries generated.

The accounts for type Income Statement do have balances.

Default Closing Account in G/L Options > Account has been set to a valid account? Closing period unlocked in Fiscal Calendar? Retained Earnings account is setup as "Retained Earnings" Account Type?

Yes to all

Run a trial balance for 2020 period 1.  Do you show balances in your income and expense accounts?

Yes, it shows balances in the income and expense accounts. For many, there have been no entries in 2020 yet so the balances from December 2019 shows for January 2020 also.

In Common Services - Fiscal Calendar, for year 2019, Is there a checkmark next to Active, Lock Adjustment Period and/or Lock Closing Period?  Which ones?

Any GL error batches sitting open?

Yes, there is a checkmark next to Active. Neither Adjustment or Closing Periods are locked.

Yes, I found three GL error batches not posted yet. Please note that these error batches are not the closing entries. They contain entries posted with fiscal period of 2018 which had caused the error.

To ensure that this is not getting in the way, I posted these three error batches and tried running Create New Year. Still same issue -- no closing entries were generated.

FWIW, I have Norming Asset Accounting installed but Year End Processing has not been run in the AM module yet. Could this be the reason ?

No. The FA module sends entries to the GL but that is all.

IN yuor test GL, create a NEW Retained Earnings account.  Change the Default Closing Account in G/L Options > Account to the NEW account. Retest and let us know.