How To Fix 3G381 - VAT calculation took place locally

SAP Error Message - Details

• Message type: E = Error

• Message class: 3G - Payroll: International

• Message number: 381

• Message text: VAT calculation took place locally

What causes this issue?

You are working in an integrated system. This means that Human
Resources and Accounting run in the same system. For this reason, the
function module 'CALCULATE_TAXES_GROSS' has been started locally.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message 3G381 - VAT calculation took place locally ?

  The SAP error message 3G381 indicates that a VAT calculation was performed locally in the system instead of using the standard VAT calculation methods. This can occur for various reasons, and understanding the cause and potential solutions is essential for resolving the issue.
  Cause:
  
  Local VAT Calculation Settings: The system may be configured to perform VAT calculations locally due to specific settings in the VAT configuration or in the company code settings.
  Missing or Incorrect Tax Codes: If the tax codes used in the transaction are not properly defined or are missing, the system may default to local calculations.
  Customizations or Enhancements: Custom code or enhancements in the SAP system may override standard VAT calculation processes, leading to local calculations.
  Transaction Type: Certain transaction types may require local VAT calculations based on business requirements or legal regulations.
  
  Solution:
  
  
  Check VAT Configuration: Review the VAT configuration settings in the SAP system. Ensure that the relevant tax codes and calculation methods are correctly set up.
  
  Transaction Codes: Use transaction codes like OBYZ (for tax codes) and OB40 (for tax calculation procedures) to review settings.
  
  
  
  Verify Tax Codes: Ensure that the tax codes used in the transaction are valid and correctly assigned to the relevant company codes and transaction types.
  
  Check if the tax codes are active and properly configured for the relevant countries.
  
  
  
  Review Custom Code: If there are any custom enhancements or modifications in the VAT calculation logic, review them to ensure they are not causing the local calculation.
  
  Consult with your ABAP developers or technical team to analyze any custom code that may affect VAT calculations.
  
  
  
  Consult Documentation: Refer to SAP documentation or notes related to VAT calculations for your specific version of SAP. There may be known issues or additional configuration steps required.
  
  
  Testing: After making any changes, perform testing with the relevant transactions to ensure that VAT calculations are now being processed correctly.
  
  
  SAP Support: If the issue persists after checking the above points, consider reaching out to SAP support for further assistance. They may provide insights based on the specific version and configuration of your SAP system.
  
  
  Related Information:
  
  SAP Notes: Check for any relevant SAP Notes that may address this specific error message or provide guidance on VAT calculation issues.
  Legal Requirements: Be aware of the legal requirements for VAT calculations in your country, as these may necessitate specific configurations in SAP.
  User Training: Ensure that users involved in financial transactions are trained on the correct use of tax codes and VAT settings to minimize errors.
  
  By following these steps, you should be able to identify the cause of the error message 3G381 and implement the necessary solutions to resolve it.