How To Fix FC278 - Cash discount and tax base control depend on jurisdiction code

SAP Error Message - Details

• Message type: E = Error

• Message class: FC - FI configuration error messages

• Message number: 278

• Message text: Cash discount and tax base control depend on jurisdiction code

What causes this issue?

The control "Net cash discount base" and "Net tax base" for tax
postings with a jurisdiction code is no longer in the company code
table as of Release 2.2. Instead, it is now maintained at the highest
level (country code) of the jurisdiction code.

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?

Check the definitions of the jurisdiction codes and maintain these if
necessary.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message FC278 - Cash discount and tax base control depend on jurisdiction code ?

  The SAP error message FC278, which states "Cash discount and tax base control depend on jurisdiction code," typically arises in the context of financial transactions where cash discounts and tax calculations are influenced by the jurisdiction code set in the system. This error indicates that there is a conflict or inconsistency in how cash discounts and tax bases are being handled based on the jurisdiction code assigned to the transaction.
  Cause:
  
  Jurisdiction Code Configuration: The jurisdiction code may not be properly configured in the system, leading to discrepancies in how cash discounts and tax bases are calculated.
  Inconsistent Settings: The settings for cash discounts and tax base calculations may not align with the requirements of the jurisdiction code being used.
  Missing or Incorrect Master Data: The master data for customers, vendors, or materials may be incomplete or incorrectly set up, particularly regarding tax and discount settings.
  Transaction Type: The type of transaction being processed may not support the combination of cash discounts and tax base calculations as defined by the jurisdiction code.
  
  Solution:
  
  Review Jurisdiction Code Settings: Check the configuration of the jurisdiction code in the SAP system. Ensure that it is set up correctly to handle cash discounts and tax calculations.
  Align Cash Discount and Tax Base Settings: Ensure that the settings for cash discounts and tax bases are consistent with the requirements of the jurisdiction code. This may involve adjusting configuration settings in the SAP system.
  Check Master Data: Review the master data for the relevant customers, vendors, and materials to ensure that all necessary fields related to cash discounts and tax calculations are filled out correctly.
  Consult Documentation: Refer to SAP documentation or help resources for specific guidance on how to configure cash discounts and tax bases in relation to jurisdiction codes.
  Testing: After making changes, conduct tests to ensure that the error no longer occurs and that transactions are processed correctly.
  
  Related Information:
  
  SAP Notes: Check for any relevant SAP Notes that may address this specific error or provide additional guidance on configuration.
  Transaction Codes: Familiarize yourself with transaction codes related to tax configuration (e.g., OBYZ for tax codes, OBCO for cash discount settings).
  User Roles: Ensure that users have the appropriate roles and permissions to make changes to configuration settings.
  Consult with SAP Support: If the issue persists after troubleshooting, consider reaching out to SAP support for further assistance.
  
  By addressing the configuration and ensuring consistency across the relevant settings, you should be able to resolve the FC278 error and proceed with your financial transactions.