How To Fix FF740 - Enter a valid tax code

FF740 - Overview

• Message type: E = Error

• Message class: FF - FI Function Module Messages

• Message number: 740

• Message text: Enter a valid tax code

What causes this issue?

You have either specified a tax account in the customer/vendor items
which does not match the one specified in the G/L account or the tax
code specified has not been defined in Customizing.

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?

INCLUDE FI_NA_CUST

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message FF740 - Enter a valid tax code ?

  The SAP error message FF740, which states "Enter a valid tax code," typically occurs when a user attempts to process a transaction that requires a tax code, but the system does not recognize the tax code entered. This can happen in various SAP modules, particularly in Financial Accounting (FI) and Controlling (CO).
  Causes of Error FF740
  
  Invalid Tax Code: The tax code entered does not exist in the system or is not defined in the relevant company code.
  Inactive Tax Code: The tax code may exist but is inactive for the period in which the transaction is being processed.
  Missing Configuration: The tax code may not be properly configured in the system, including missing tax rates or settings.
  Company Code Issues: The tax code may not be assigned to the company code being used in the transaction.
  User Input Error: There may be a typographical error in the tax code entered by the user.
  
  Solutions to Error