How To Fix FIKW_LOC008 - Only available for vendors liable to pay &1 withholding tax

SAP Error Message - Details

• Message type: E = Error

• Message class: FIKW_LOC - FI Localization for Kuwait

• Message number: 008

• Message text: Only available for vendors liable to pay &1 withholding tax

What causes this issue?

Option is only available for vendors that are liable for the
withholding tax type or code which has been customized for the selected
company 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?

Make this vendor liable for the selected withholding tax type or code,
or change the Customizing for this company code in the activity Specify
Tax Codes and Tax Types for Dividend Withholding Tax.

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 FIKW_LOC008 - Only available for vendors liable to pay &1 withholding tax ?

  The SAP error message FIKW_LOC008 indicates that a specific operation is only available for vendors who are liable to pay withholding tax. This error typically arises in the context of financial transactions involving vendors in SAP, particularly when dealing with withholding tax configurations.
  Cause:
  The error occurs when:
  
  You are trying to perform an action (like posting an invoice or making a payment) for a vendor that is not set up to be liable for withholding tax.
  The vendor master data does not have the necessary withholding tax information configured.
  The withholding tax type or code being used is not applicable to the vendor in question.
  
  Solution:
  To resolve the error, you can take the following steps:
  
  
  Check Vendor Master Data:
  
  Go to the vendor master record (transaction code XK03 or FK03).
  Verify that the vendor is set up correctly for withholding tax. Check the "Withholding Tax" tab to ensure that the appropriate withholding tax types are assigned.
  
  
  
  Update Vendor Information:
  
  If the vendor is not set up for withholding tax, you may need to update the vendor master data to include the relevant withholding tax information.
  Ensure that the vendor is marked as liable for the specific withholding tax type you are trying to use.
  
  
  
  Review Withholding Tax Configuration:
  
  Check the configuration settings for withholding tax in the SAP system (transaction code OBB8 for withholding tax types).
  Ensure that the withholding tax codes are correctly defined and that they are linked to the appropriate vendor categories.
  
  
  
  Consult with Finance Team:
  
  If you are unsure about the correct withholding tax setup, consult with your finance or accounting team to ensure compliance with local tax regulations.
  
  
  
  Testing:
  
  After making the necessary changes, try to perform the action again to see if the error persists.
  
  
  
  Related Information:
  
  Withholding Tax Types: Different types of withholding taxes may apply based on local regulations, and each vendor may have different liabilities.
  Vendor Liability: Not all vendors are subject to withholding tax; ensure that the vendor in question is indeed liable.
  SAP Documentation: Refer to SAP Help documentation for detailed information on configuring withholding tax and managing vendor master data.
  
  By following these steps, you should be able to resolve the FIKW_LOC008 error and proceed with your financial transactions involving the vendor.