How To Fix 62663 - Input tax adj. not possible for assets under construction

SAP Error Message - Details

• Message type: E = Error

• Message class: 62 - Message Texts for Real Estate

• Message number: 663

• Message text: Input tax adj. not possible for assets under construction

What causes this issue?

An input tax revision cannot be applied to assets under construction.

System Response

The system rejects your entry.

How to fix this error?

Correct your entry and enter a valid tax phase.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message 62663 - Input tax adj. not possible for assets under construction ?

  The SAP error message 62663, "Input tax adjustment not possible for assets under construction," typically occurs in the context of asset accounting when there is an attempt to adjust input tax for an asset that is still under construction (AUC). This error is related to the handling of input tax in the context of VAT (Value Added Tax) and asset management.
  Cause:
  
  Asset Under Construction (AUC): The error arises because input tax adjustments are not allowed for assets that are classified as under construction. This is due to the fact that the asset is not yet completed and therefore not ready for use.
  Tax Configuration: The tax configuration in the system may not allow for input tax adjustments on AUCs, as they are typically capitalized only once the asset is completed and put into service.
  Posting Errors: There may be an attempt to post an invoice or adjustment that incorrectly references an AUC instead of a completed asset.
  
  Solution:
  
  Complete the Asset Construction: Ensure that the asset under construction is completed and capitalized. Once the asset is fully constructed and ready for use, you can then make the necessary input tax adjustments.
  Review Tax Settings: Check the tax configuration settings in your SAP system to ensure they align with your business processes. You may need to consult with your finance or tax department to understand the implications of input tax adjustments.
  Correct Posting: If the error is due to an incorrect posting, review the transaction and ensure that you are posting to the correct asset account. If you need to adjust input tax, it should be done on a completed asset.
  Consult Documentation: Refer to SAP documentation or help resources for specific guidance on handling input tax adjustments and asset accounting.
  
  Related Information:
  
  SAP Notes: Check SAP Notes for any specific patches or updates related to this error message. SAP frequently updates its software, and there may be relevant notes that address this issue.
  Transaction Codes: Familiarize yourself with relevant transaction codes such as AS01 (Create Asset), AS02 (Change Asset), and AS03 (Display Asset) to manage asset accounting effectively.
  Training and Support: If you are unsure about the processes, consider seeking training or support from your SAP administrator or a consultant who specializes in SAP Asset Accounting.
  
  By addressing the underlying cause of the error and following the suggested solutions, you should be able to resolve the issue effectively.