How To Fix MN889 - Tax code (tax-exempt tranaction output tax) missing for company code &

MN889 - Overview

• Message type: E = Error

• Message class: MN - Message class for subsequent settlement (Purchasing)

• Message number: 889

• Message text: Tax code (tax-exempt tranaction output tax) missing for company code &

What causes this issue?

Tax calculation using the tax jurisdiction code is active for company
code &V1&.
In this case, business volumes are updated for customer rebate
arrangements in <DS:GLOS.3526C095AFAB52B9E10000009B38F974>subsequent
settlement</> with the tax code for non-taxable transactions (output
tax) of the company code.
The tax code for non-taxable transactions (output tax) is not
maintained for company code &V1&.

System Response

The business volume data is not updated.
&WHAT_TO_DO& for System Administrators
Enter the missing data in Customizing, and post the missing data using
the "Subsequent business volume update" function.

<ds:SIMG.SIMG_CFMENUORFBOBCL>Allocate non-taxable transactions to
company code</>
ENDIF
The condition record concerned has (internal) number &V2&.

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 MN889 - Tax code (tax-exempt tranaction output tax) missing for company code & ?

  The SAP error message MN889 indicates that there is a missing tax code for tax-exempt transactions in the specified company code. This error typically arises during the processing of transactions that are exempt from tax, and it can prevent the successful posting of documents.
  
  Cause:
  
  Missing Tax Code Configuration: The tax code for tax-exempt transactions has not been defined in the system for the specified company code.
  Incorrect Tax Code Assignment: The tax code may not be correctly assigned to the relevant transaction types or master data.
  Company Code Settings: The company code may not have the necessary settings to handle tax-exempt transactions.
  
  
  Solution:
  
  
  Define Tax Code:
  
  Go to the SAP transaction code OBYZ (or navigate through the menu: SPRO > Financial Accounting > Tax on Sales/Purchases > Basic Settings > Check Tax Codes).
  Ensure that a tax code for tax-exempt transactions is defined for the relevant company code.
  If it is missing, create a new tax code and