How To Fix HRITFAU023 - Medicare levy exemption not allowed with tax scale &1

SAP Error Message - Details

• Message type: E = Error

• Message class: HRITFAU - Message class for New Infotype Framework (Australia)

• Message number: 023

• Message text: Medicare levy exemption not allowed with tax scale &1

Self-Explanatory Message

Since SAP believes that this specific error message is 'self-explanatory,' no more information has been given.The majority of messages in the SAP system have a message text, however this is frequently insufficient to comprehend or resolve the problem.

To make things easier, more detailed information is frequently added to describe the issue, how to fix it, and the necessary steps or configuration modifications.

Unfortunately, there isn't any extra information in this error notice.

What else can you do?

First, use our AnswerBot below to get a possible cause and solution (requires a premium subscription).

Also, review the in-depth Common Questions & Answers listed below; you could discover a solution there or be able to connect with others who have faced similar challenges.

You can also try searching the SAP support portal (support.sap.com) but you need a special user ID to access it. It is possible that an SAP support note exists that provides additional details about the mistake or even steps for fixing it.

Smart SAP Assistant

• What is the cause and solution for SAP error message HRITFAU023 - Medicare levy exemption not allowed with tax scale &1 ?

  The SAP error message HRITFAU023 indicates that there is an issue with the Medicare levy exemption in relation to the tax scale being used for an employee. This error typically arises in the context of payroll processing in Australia, particularly when dealing with the Medicare levy, which is a tax that helps fund the public healthcare system.
  Cause:
  The error occurs when:
  
  An employee is marked as exempt from the Medicare levy, but the tax scale assigned to them does not allow for such exemptions.
  The configuration of the tax scale in the SAP system does not support exemptions for the Medicare levy.
  There may be incorrect or missing data in the employee's tax information or payroll settings.
  
  Solution:
  To resolve the HRITFAU023 error, you can take the following steps:
  
  
  Check Employee Tax Settings:
  
  Go to the employee's master data (PA30) and review their tax information.
  Ensure that the Medicare levy exemption status is correctly set based on the employee's eligibility.
  
  
  
  Review Tax Scale Configuration:
  
  Check the configuration of the tax scale being used (transaction code: OBY6 or similar).
  Ensure that the tax scale allows for exemptions if the employee is marked as exempt.
  
  
  
  Update Tax Scale:
  
  If the tax scale does not support exemptions, you may need to create or modify a tax scale that does allow for Medicare levy exemptions.
  Consult with your payroll or tax configuration team to ensure compliance with Australian tax regulations.
  
  
  
  Run Payroll Simulation:
  
  After making changes, run a payroll simulation to verify that the error no longer occurs and that the employee's tax calculations are correct.
  
  
  
  Consult Documentation:
  
  Refer to SAP documentation or help notes related to payroll processing in Australia for additional guidance on tax scales and exemptions.
  
  
  
  Seek Expert Assistance:
  
  If the issue persists, consider reaching out to your SAP support team or a consultant with expertise in SAP HR and Australian payroll for further assistance.
  
  
  
  Related Information:
  
  Medicare Levy: In Australia, the Medicare levy is typically 2% of an individual's taxable income, and certain individuals may be exempt based on their income level or other criteria.
  Tax Scales in SAP: Tax scales in SAP are used to determine the amount of tax to be withheld from an employee's salary based on their income and other factors.
  SAP HR Module: The SAP Human Resources (HR) module includes functionalities for payroll processing, employee management, and compliance with local tax regulations.
  
  By following these steps, you should be able to resolve the HRITFAU023 error and ensure that the payroll processing for the affected employee is accurate.