Move issue error in JIRA software: 'The issue type selected is invalid'

Summary

When attempting to move an issue between projects (using the "Move" link in the "More" dropdown on the view issue page), the move will not work; it fails on the first step stating "The issue type selected is invalid".

Steps to Reproduce

• JIRA Cloud

1. Start a clean JIRA Cloud with Software and Service Desk
   • Only ‘Epic’ and ‘Story’ are available
   • They’re both in the Default Issue Type Scheme
2. Create a Task Management project
3. The issue types ‘Task’ and ‘Sub-tasks’ are created
4. Moving issues to ‘Task’ Doesn’t work

• JIRA Server

1. install JIRA7 software
2. create a Business Project of Process Management type (PROCESS)
3. create a Software Project of Scrum type (SCRUM)
4. create issue in PROCESS, issuetype=Task
5. try to move issue above into SCRUM project, issuetype=Bug
6. you will get the error attached. Choose SCRUM project, issuetype=Story works fine

Expected Results

The issue is allowed to be moved to the new project with a new issue type.

Actual Results

Moving issues to/from affected types show this error:

The issue type selected is invalid.

Notes

This is not restricted to the issue types listed here. It can also occur when moving to or from custom issue types.

Workaround

You can try moving issues using the bulk edit feature on the issue search page. Follow the instructions for moving issues in our knowledge-base article on editing multiple issues at the same time

If using bulk edit does not help, you can follow the advice in this KB.

Note: JIRA Cloud users experiencing this issue should open a support ticket at Atlassian Support.