06693 - Tax indicator &1 not defined for country &2

SAP Error Message - Details

• Message type: E = Error

• Message class: 06 -

• Message number: 693

• Message text: Tax indicator &1 not defined for country &2

What causes this issue?

Tax indicator &V1& is not defined for country &V2&.

System Response

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

How to fix this error?

Check the settings for the tax indicators in Customizing for
Purchasing.

Procedure for System Administrators

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message 06693 - Tax indicator &1 not defined for country &2 ?

  The SAP error message "06693 Tax indicator &1 not defined for country &2" typically occurs when the system is unable to find a valid tax indicator for a specific country in the context of tax calculations. This can happen in various scenarios, such as during the creation of invoices, purchase orders, or when processing financial transactions.
  Cause:
  
  Missing Tax Indicator: The tax indicator specified in the transaction does not exist in the system for the specified country.
  Configuration Issues: The tax configuration for the country may not be set up correctly in the SAP system.
  Incorrect Master Data: The master data (such as vendor or customer records) may have incorrect or missing tax information.
  Country-Specific Settings: The country may require specific tax settings that have not been configured in the system.
  
  Solution:
  
  
  Check Tax Configuration:
  
  Go to the SAP Customizing Implementation Guide (SPRO).
  Navigate to Financial Accounting (New) > Financial Accounting Global Settings (New) > Tax on Sales/Purchases > Basic Settings > Define Tax Codes for Sales and Purchases.
  Ensure that the tax indicator in question is defined for the specified country.
  
  
  
  Define Tax Indicator:
  
  If the tax indicator is missing, you may need to create it. This involves defining the tax code and linking it to the appropriate tax indicator for the country.
  
  
  
  Review Master Data:
  
  Check the master data for the relevant vendor or customer to ensure that the correct tax indicator is assigned.
  You can do this by reviewing the vendor/customer master records in transaction codes like XK03 (Vendor) or FD03 (Customer).
  
  
  
  Consult Documentation:
  
  Review SAP documentation or consult with your SAP support team to ensure that all necessary tax configurations are in place for the specific country.
  
  
  
  Testing:
  
  After making changes, perform a test transaction to ensure that the error no longer occurs.
  
  
  
  Related Information:
  
  Transaction Codes: 
  
  SPRO (Customizing)
  XK03 (Display Vendor)
  FD03 (Display Customer)
  
  
  SAP Notes: Check for any relevant SAP Notes that may address specific issues related to tax configuration for your version of SAP.
  Country-Specific Tax Regulations: Be aware of the tax regulations in the country you are working with, as they may require specific configurations.
  
  If the issue persists after following these steps, it may be beneficial to consult with an SAP functional consultant or your organization's SAP support team for further assistance.