How To Fix FF724 - Tax entry not possible in this item

FF724 - Overview

• Message type: E = Error

• Message class: FF - FI Function Module Messages

• Message number: 724

• Message text: Tax entry not possible in this item

What causes this issue?

You can not enter a tax amount in this item since, due to the posting
amount entered and the tax code, a total tax amount of zero has been
calculated.
This could either be due to the fact that the tax code has been defined
with a value of 0%, or because the posting amount entered (that is, the
tax base) is too small.
<ZH>Example:</>
With a tax rate of 15%, a tax amount greater than zero will only be
achieved with a base amount greater than 0.04. With values of 0.03 and
less, it is therefore not possible to enter a tax amount.

How to fix this error?

Only enter tax amounts in conjunction with tax codes for which a
percentage rate not equal to zero has been defined. Make sure that in
documents with several G/L account items you enter the total tax amount
in an item with a sufficiently high posting amount.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message FF724 - Tax entry not possible in this item ?

  The SAP error message FF724 ("Tax entry not possible in this item") typically occurs during the processing of financial documents, particularly when dealing with tax-related entries in accounts payable or accounts receivable. This error indicates that the system is unable to post a tax entry for a specific line item in a document. Here are some common causes, potential solutions, and related information for this error:
  Causes:
  
  Missing Tax Code: The line item may not have a valid tax code assigned, which is necessary for calculating tax amounts.
  Incorrect Tax Configuration: The tax configuration in the system may not be set up correctly, leading to issues with tax determination.
  Item Type Restrictions: Certain item types (e.g., non-taxable items) may not allow tax entries.
  Document Type Restrictions: The document type being used may not permit tax entries.
  Currency Issues: If there are currency conversion issues or if the tax code is not valid for the currency used,