How To Fix FS227 - Tax code & only for company codes with sales taxes

FS227 - Overview

• Message type: E = Error

• Message class: FS - Messages from Tax Routines / Prenumbered Checks

• Message number: 227

• Message text: Tax code & only for company codes with sales taxes

What causes this issue?

The percentage rates for this tax code were maintained by considering
information for sales tax. However, the company code which is currently
posted, does not allow processing of sales tax.

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?

If necessary, use another tax code.
If actual sales tax is to be taken into account, then the company code
in the default settings is to be indicated correspondingly.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message FS227 - Tax code & only for company codes with sales taxes ?

  The SAP error message FS227 typically indicates an issue related to tax codes in the context of financial transactions, particularly when dealing with company codes that are configured to handle sales taxes. Here’s a breakdown of the cause, potential solutions, and related information for this error:
  
  Cause:
  
  Missing Tax Code: The tax code specified in the transaction is not defined in the system for the relevant company code.
  Incorrect Configuration: The company code may not be properly configured to handle sales taxes, or the tax code may not be assigned to the relevant account.
  Tax Code Inactive: The tax code might be inactive or not applicable for the specific transaction type.
  Transaction Type Mismatch: The transaction type being processed may not be compatible with the specified tax code.
  
  
  Solution:
  
  
  Check Tax Code Configuration:
  
  Go to the transaction code OBYZ (or use the path: SPRO > Financial Accounting > Tax on Sales/Purchases > Basic Settings > Check Tax Code).
  Ensure