How To Fix CA_TTE642 - The TaxEventType is not taxable but the Tax Event &1 is

SAP Error Message - Details

• Message type: E = Error

• Message class: CA_TTE - TTE Messages

• Message number: 642

• Message text: The TaxEventType is not taxable but the Tax Event &1 is

What causes this issue?

The CRM 3.x tax event determination has determined a tax event type that
is not taxable but the determined tax event &V1& is taxable.

System Response

Tax event determination is possible but if there are Customizing
inconsistencies, the tax event event type of 3.x might not correspond to
the taxable flag associated with the tax event of 4.0.

How to fix this error?

Check and, if required, adjust the Customizing settings in
<DS:SIMG.TTEVCL_TXSET>Define Tax Settings</>
<DS:SIMG.SIMGTXDTETDEFAULT>Define Tax Event Determination</>
<DS:SIMG.SIMGEUTXDETERM>Define Tax Determination EU</>

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

Procedure for System Administrators

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message CA_TTE642 - The TaxEventType is not taxable but the Tax Event &1 is ?

  The SAP error message CA_TTE642 indicates a discrepancy between the tax event type and the tax event itself. Specifically, it suggests that the tax event type is marked as non-taxable, while the associated tax event is being treated as taxable. This can lead to confusion in tax calculations and reporting.
  Cause:
  
  Configuration Issues: The tax event type may have been incorrectly configured in the system, leading to a mismatch between its taxable status and the tax event.
  Data Entry Errors: There may be incorrect data entries in the master data or transaction data that are causing this inconsistency.
  Changes in Tax Regulations: Updates or changes in tax regulations may not have been reflected in the system configuration, leading to outdated tax classifications.
  Customizations: If there are custom developments or enhancements in the SAP system, they may not align with the standard tax configurations.
  
  Solution:
  
  
  Review Configuration:
  
  Check the configuration of the tax event type in the SAP system. Ensure that the settings for the tax event type are correctly defined as taxable or non-taxable based on the business requirements.
  Use transaction codes like OBYZ (for tax codes) or OB40 (for tax event types) to review and adjust the settings.
  
  
  
  Check Master Data:
  
  Review the master data for the relevant tax event and ensure that it is correctly classified. This includes checking the tax codes assigned to the relevant materials, services, or transactions.
  
  
  
  Data Validation:
  
  Validate the transaction data that triggered the error. Ensure that the correct tax event type is being used for the transaction and that it aligns with the expected tax treatment.
  
  
  
  Consult Documentation:
  
  Refer to SAP documentation or help notes related to tax event types and their configurations to ensure compliance with the latest tax regulations.
  
  
  
  Testing:
  
  After making changes, perform testing in a development or quality assurance environment to ensure that the issue is resolved before moving changes to production.
  
  
  
  Seek Expert Help:
  
  If the issue persists, consider consulting with an SAP tax expert or your SAP support team for further analysis and resolution.
  
  
  
  Related Information:
  
  SAP Notes: Check for any relevant SAP Notes that may address this specific error or provide guidance on tax event configurations.
  Tax Compliance: Ensure that your tax configurations comply with local tax laws and regulations, as this can vary significantly by region.
  Documentation: Maintain proper documentation of any changes made to tax configurations for future reference and audits.
  
  By following these steps, you should be able to identify the root cause of the error CA_TTE642 and implement the necessary corrections to resolve it.