How To Fix HRPAYUS_BSI014 - Basic Local Reciprocity is activated in TaxFactory client

HRPAYUS_BSI014 - Overview

• Message type: E = Error

• Message class: HRPAYUS_BSI - Payroll US BSI Interface

• Message number: 014

• Message text: Basic Local Reciprocity is activated in TaxFactory client

What causes this issue?

During payroll execution, it was detected that Basic Local Reciprocity
is enabled in the BSI TaxFactory client.

System Response

<ZH>Advanced Local Reciprocity </>option should be used instead of
<ZH>Basic Local Reciprocity </>as of January 01, 2019. As a consequence,
the system warns you about its usage in TaxFactory client.

How to fix this error?

You must evaluate the impact of using Basic Local Reciprocity in your
payroll scenarios. For more information, consult <ZH>SAP Notes 2685179
</>and <ZH>2667916.</>

Procedure for System Administrators

In case you do not want to have this message displayed, you can change
the configuration option <ZH>BSI01</> in <ZH>V_T5F99K2</>.

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.

HRPAYUS_BSI014 - Details

• The SAP error message HRPAYUS_BSI014 indicates that "Basic Local Reciprocity is activated in TaxFactory client." This error typically arises in the context of payroll processing when there are issues related to tax calculations, particularly in the United States where local taxes can vary significantly.
  
  Cause:
  The error is triggered when the TaxFactory client is configured to use Basic Local Reciprocity, which allows for the sharing of local tax credits between jurisdictions. This can lead to complications if the payroll system is not set up correctly to handle these local tax rules or if there are inconsistencies in the employee's tax data.
  
  Solution:
  To resolve this error, you can take the following steps:
  
  
  Check Tax Configuration:
  
  Verify the configuration settings in the TaxFactory client. Ensure that the Basic Local Reciprocity settings are appropriate for your organization’s payroll requirements.
  Review the local tax jurisdictions involved and confirm that they are set up correctly in the SAP system.
  
  
  
  Review Employee Tax