How To Fix GI596 - Document was posted before local crcy changeover; reversal not possible

SAP Error Message - Details

• Message type: E = Error

• Message class: GI - FI-SL update

• Message number: 596

• Message text: Document was posted before local crcy changeover; reversal not possible

What causes this issue?

An error occurred for the following reason:
In fiscal year/period &V3&, the local currency was changed.
However, the document to be reversed (AWREF/AWORG) &V2& in ledger &V1&
has already been posted in fiscal year/period &V4& prior to the local
currency changeover. Due to the logic for local currency changeovers, it
is not possible to reverse document (AWREF/AWORG) &V2& using the
reference-based reversal (reversal by means of a negative posting).

How to fix this error?

The reference-based reversal (negative posting) is not possible in this
case. An inverse posting needs to be made.

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message GI596 - Document was posted before local crcy changeover; reversal not possible ?

  The SAP error message GI596 ("Document was posted before local currency changeover; reversal not possible") typically occurs when you attempt to reverse a financial document that was posted before a local currency changeover took place. This situation arises in environments where a company has transitioned from one local currency to another, and the document you are trying to reverse was created in the old currency.
  Cause:
  
  Currency Changeover: The local currency for the company code was changed, and the document you are trying to reverse was posted before this changeover.
  Document Type Restrictions: Certain document types may have restrictions on reversals, especially if they were posted in a different currency.
  Configuration Settings: The system may be configured to prevent reversals of documents posted before a specific date related to the currency changeover.
  
  Solution:
  
  Check Document Date: Verify the posting date of the document you are trying to reverse. If it is before the currency changeover date, you will not be able to reverse it directly.
  Manual Adjustment: If reversal is not possible, consider making a manual adjustment entry to correct the financial records. This may involve creating a new document that offsets the original entry.
  Consult with Finance Team: Work with your finance or accounting team to determine the best course of action. They may have specific procedures in place for handling such situations.
  Use Special Transactions: In some cases, SAP may provide special transactions or reports that can help in handling documents affected by currency changeovers. Check if there are any available in your system.
  SAP Notes and Support: Check SAP Notes for any updates or patches related to this issue. If necessary, contact SAP support for assistance.
  
  Related Information:
  
  Transaction Codes: Familiarize yourself with relevant transaction codes such as FB08 (Reverse Document) and FBRA (Reset Cleared Items) to understand their limitations in this context.
  Currency Changeover Process: Review the process your organization followed for the currency changeover, including any specific configurations or settings that may affect document reversals.
  Documentation: Ensure that you have proper documentation for any manual adjustments made to maintain an accurate audit trail.
  
  By following these steps, you should be able to address the error message GI596 and take appropriate actions to manage your financial documents effectively.