How To Fix HRPAYDEST501 - Tax ID incorrect - illegal character in 1st position (&1)

SAP Error Message - Details

• Message type: E = Error

• Message class: HRPAYDEST - Message Class: Taxes Germany

• Message number: 501

• Message text: Tax ID incorrect - illegal character in 1st position (&1)

What causes this issue?

The digits 0, 1, 2, and 3 are not permitted in the first position of the
tax ID. Exception: In clients that are not classified as "live", tax IDs
with 0 are permitted for test purposes.
<ZH>Change on 01/01/2015: </>
The digits 1, 2, and 3 are also permitted in the first position of the
tax ID.

System Response

It is not possible to enter or process the tax ID.

How to fix this error?

Enter a valid tax ID.

Procedure for System Administrators

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 HRPAYDEST501 - Tax ID incorrect - illegal character in 1st position (&1) ?

  The SAP error message HRPAYDEST501 indicates that there is an issue with the Tax ID being used in the payroll process. Specifically, the error states that the Tax ID is incorrect due to an illegal character in the first position. This typically occurs when the Tax ID does not conform to the expected format or contains invalid characters.
  Cause:
  
  Invalid Characters: The Tax ID may start with a character that is not allowed (e.g., a special character or a space).
  Format Issues: The Tax ID may not follow the required format for the specific country or region.
  Data Entry Errors: There may have been a mistake during data entry, leading to an incorrect Tax ID being saved in the system.
  
  Solution:
  
  Check the Tax ID: Review the Tax ID entered in the system. Ensure that it starts with a valid character (usually a letter or a number, depending on the country).
  Correct Format: Verify that the Tax ID adheres to the format required for the specific country. For example, some countries have specific lengths and character requirements for Tax IDs.
  Data Correction: If the Tax ID is incorrect, update it in the relevant infotype (e.g., IT 0002 for personal data) or the payroll master data.
  Validation: After making corrections, validate the Tax ID again to ensure that it is accepted by the system without errors.
  
  Related Information:
  
  Country-Specific Requirements: Different countries have different formats for Tax IDs (e.g., Social Security Number in the USA, National Insurance Number in the UK). Make sure to refer to the specific requirements for the country in question.
  SAP Notes: Check SAP Notes for any updates or patches related to this error message, as there may be known issues or fixes provided by SAP.
  Testing: After making changes, run a test payroll to ensure that the error does not reoccur and that the Tax ID is processed correctly.
  
  If the issue persists after following these steps, it may be beneficial to consult with your SAP support team or refer to SAP documentation for further troubleshooting.