How To Fix 5U007 - Tax authority is not on local level

5U007 - Overview

• Message type: E = Error

• Message class: 5U - HR US: Messages

• Message number: 007

• Message text: Tax authority is not on local level

What causes this issue?

authority. Please verify your entry using PF4 or if it is correct, use
another employee tax screen (via the subtype) to add this tax code to
the employee's record.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message 5U007 - Tax authority is not on local level ?

  The SAP error message 5U007: Tax authority is not on local level typically occurs in the context of tax determination and configuration within the SAP system. This error indicates that the system is unable to find a tax authority that is defined at the local level for the specific transaction or location being processed.
  
  Cause:
  
  Missing Tax Authority Configuration: The tax authority for the specific jurisdiction (local level) is not defined in the system.
  Incorrect Tax Code: The tax code being used may not be associated with a valid local tax authority.
  Master Data Issues: The master data for the customer or vendor may not have the correct tax information or may not be linked to the appropriate tax authority.
  Geographical Mismatch: The location of the transaction may not match the jurisdiction where the tax authority is defined.
  
  
  Solution:
  
  
  Check Tax Authority Configuration:
  
  Go to the transaction code OBYZ (or the relevant configuration path) to check the tax