How To Fix 8B523 - Taxlaw ICMS does not exist for order type &1, item cat. &2, country &3

SAP Error Message - Details

• Message type: E = Error

• Message class: 8B - Localization (Brazil)

• Message number: 523

• Message text: Taxlaw ICMS does not exist for order type &1, item cat. &2, country &3

What causes this issue?

No entry exists in table J_1BSDTL1. (Nor on country level, nor on
country/tax region level.)

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?

Please create an entry on country level and if necessary also on
country/tax region level.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message 8B523 - Taxlaw ICMS does not exist for order type &1, item cat. &2, country &3 ?

  The SAP error message 8B523 indicates that there is an issue with the tax law configuration for the ICMS (Imposto sobre Circulação de Mercadorias e Serviços) in the context of a specific order type, item category, and country. This error typically arises when the system cannot find the necessary tax law settings for the specified parameters.
  Cause:
  
  Missing Tax Law Configuration: The ICMS tax law may not be configured for the specified order type, item category, and country in the SAP system.
  Incorrect Order Type or Item Category: The order type or item category being used may not be correctly set up to handle ICMS tax calculations.
  Country-Specific Settings: The country code provided may not have the necessary tax law settings defined in the system.
  
  Solution:
  
  
  Check Tax Law Configuration:
  
  Navigate to the transaction code OBYZ (or similar, depending on your SAP version) to check the tax law settings.
  Ensure that the ICMS tax law is defined for the relevant order type, item category, and country.
  
  
  
  Define Tax Law:
  
  If the tax law does not exist, you will need to create it. This can typically be done in the configuration settings under Financial Accounting (FI) > Tax on Sales/Purchases > Basic Settings > Define Tax Laws.
  Make sure to include the necessary details for ICMS, including the relevant order types and item categories.
  
  
  
  Review Order Type and Item Category:
  
  Verify that the order type and item category being used in the transaction are correct and that they are intended to handle ICMS tax.
  If necessary, adjust the order type or item category to one that is configured for ICMS.
  
  
  
  Consult Documentation:
  
  Review SAP documentation or consult with your SAP functional consultant to ensure that all necessary configurations are in place.
  
  
  
  Testing:
  
  After making the necessary changes, perform a test transaction to ensure that the error no longer occurs.
  
  
  
  Related Information:
  
  ICMS: This is a Brazilian tax on the circulation of goods and services, and it is essential for businesses operating in Brazil to have the correct tax configurations in their SAP systems.
  SAP Configuration: Tax configurations can be complex, and it is often beneficial to work with a consultant who specializes in SAP FI/CO (Financial Accounting/Controlling) to ensure compliance with local tax laws.
  Transaction Codes: Familiarize yourself with relevant transaction codes such as OBYZ, OVK1, and OVK2 for tax configuration and order type settings.
  
  If the issue persists after checking the configurations, it may be necessary to engage with SAP support or a qualified SAP consultant for further assistance.