How To Fix 5G666 - Previous earnings and tax should not be entered for tax basis W1/M1

SAP Error Message - Details

• Message type: E = Error

• Message class: 5G - HR: Messages for Britain

• Message number: 666

• Message text: Previous earnings and tax should not be entered for tax basis W1/M1

What causes this issue?

Previous earnings or tax have been entered on infotype 'Tax Data GB'
(0065) for an employee whose tax code originates from form P45, even
though a Week1 or Month1 tax basis applies.

System Response

As the tax code originates from form P45, no starters details should be
recorded. This is because the form itself should not hold previous
earnings if a Week1 or Month1 basis applies for the tax code at leaving
date.

How to fix this error?

Please check whether the tax code originates from a P45 form and
whether a Week1 or Month1 basis applies for the employee according to
the form. If both these situations are valid, no previous earnings or
tax should be recorded.

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

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message 5G666 - Previous earnings and tax should not be entered for tax basis W1/M1 ?

  The SAP error message 5G666, which states "Previous earnings and tax should not be entered for tax basis W1/M1," typically occurs in the context of payroll processing, particularly when dealing with tax reporting for employees in the United States. This error is related to the handling of tax basis codes W1 (for federal withholding) and M1 (for state withholding) in the payroll system.
  Cause:
  The error arises when there is an attempt to enter previous earnings and tax amounts for an employee who is being processed under the W1 or M1 tax basis. The W1 and M1 tax bases are designed for specific tax reporting purposes, and the system does not allow for the entry of previous earnings and tax amounts in these cases. This is often due to:
  
  Incorrect Data Entry: The user may have inadvertently entered previous earnings or tax amounts when processing payroll.
  System Configuration: The payroll configuration may not be set up correctly to handle the W1/M1 tax basis.
  Employee Status: The employee's tax status may not align with the requirements for entering previous earnings and taxes.
  
  Solution:
  To resolve this error, you can take the following steps:
  
  
  Review Data Entry: Check the payroll entry for the employee and ensure that you are not entering previous earnings or tax amounts for the W1/M1 tax basis. Remove any such entries if they exist.
  
  
  Verify Employee Tax Settings: Ensure that the employee's tax settings are correctly configured in the system. This includes checking their tax basis and ensuring that it aligns with the current payroll processing requirements.
  
  
  Consult Payroll Documentation: Refer to your organization's payroll documentation or SAP help resources to understand the specific requirements for entering payroll data under the W1/M1 tax basis.
  
  
  System Configuration Check: If the issue persists, consult with your SAP payroll administrator or IT department to verify that the system configuration is correct and that there are no underlying issues with the payroll module.
  
  
  Testing: After making the necessary adjustments, run a test payroll for the employee to ensure that the error does not reoccur.
  
  
  Related Information:
  
  SAP Notes: Check SAP Notes for any updates or patches related to payroll processing and tax basis handling.
  Documentation: Review SAP documentation on payroll processing, particularly sections related to tax reporting and earnings entries.
  User Forums: Engage with SAP user forums or communities for insights from other users who may have encountered similar issues.
  
  If the problem continues after following these steps, it may be beneficial to escalate the issue to SAP support for further assistance.