How To Fix 63040 - Do not enter an input tax option if no value-added tax exists

SAP Error Message - Details

• Message type: E = Error

• Message class: 63 - Messages for Real Estate Management

• Message number: 040

• Message text: Do not enter an input tax option if no value-added tax exists

What causes this issue?

Opting should not be possible if no output tax exists for a rental
agreement.

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?

Delete the "Input tax option" and "Opting reason" fields.
INCLUDE 'CUSTOMIZED_MESSAGE_INFO' OBJECT DOKU ID TX

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message 63040 - Do not enter an input tax option if no value-added tax exists ?

  The SAP error message 63040, "Do not enter an input tax option if no value-added tax exists," typically occurs in the context of financial transactions where input tax is being processed. This error indicates that the system has detected an attempt to enter an input tax option (such as a tax code) when there is no corresponding value-added tax (VAT) applicable to the transaction.
  Cause:
  
  Incorrect Tax Code: The tax code entered may not be applicable to the transaction, or it may not be configured correctly in the system.
  Missing VAT Configuration: The transaction may not have the necessary VAT configuration set up in the system, leading to the absence of applicable VAT.
  Transaction Type: The type of transaction being processed may not require VAT, but an input tax option has been selected.
  Data Entry Error: There may be a simple data entry error where the user mistakenly selects an input tax option.
  
  Solution:
  
  Check Tax Code: Verify that the tax code entered is appropriate for the transaction. Ensure that it corresponds to a valid VAT rate.
  Review VAT Configuration: Ensure that the VAT settings are correctly configured in the system. This includes checking the tax determination procedure and ensuring that the relevant tax codes are set up for the transaction type.
  Adjust Transaction Type: If the transaction does not require VAT, remove the input tax option or select a different transaction type that does not involve VAT.
  Consult Documentation: Refer to SAP documentation or consult with your SAP support team to understand the specific configuration and requirements for VAT in your organization.
  User Training: Ensure that users are trained on the correct procedures for entering transactions involving VAT to minimize errors.
  
  Related Information:
  
  SAP Notes: Check for any relevant SAP Notes that may address this specific error or provide additional guidance on VAT configuration.
  Transaction Codes: Familiarize yourself with relevant transaction codes such as FB60 (Invoice), FB70 (Customer Invoice), or others where VAT is applicable.
  Tax Reporting: Understand how this error may affect tax reporting and compliance within your organization.
  Testing: If changes are made to tax codes or configurations, conduct thorough testing to ensure that the issue is resolved and that transactions are processed correctly.
  
  If the problem persists after following these steps, it may be beneficial to engage with your SAP support team or a consultant who specializes in SAP financials for further assistance.