How To Fix O1653 - Tax code &, country &, not defined in procedure &

SAP Error Message - Details

• Message type: E = Error

• Message class: O1 - IS-Oil : Message pool exchanges

• Message number: 653

• Message text: Tax code &, country &, not defined in procedure &

What causes this issue?

You entered a tax code which is not defined for the country of the
company code in the tax table to be posted.

System Response

Error message. This prevents further document processing.

How to fix this error?

Please correct the tax code you entered, or check whether the company
code is allocated to the correct country in the corresponding table and
whether the correct tax table is entered for the company code country
in the country table.
If you create the tax code again, please do this in FI Customizing
under 'Environment' -> 'Taxes' -> 'Taxes on sales and purchases'.
Caution: Since it is possible that the tables in question run
asynchronously on other computers, it may take some time until the tax
code is on all local machines on client servers after 'saving' the new
indicator. Please contact your systems administrator if problems
arise.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message O1653 - Tax code &, country &, not defined in procedure & ?

  The SAP error message O1653 indicates that a specific tax code is not defined for a particular country in the tax procedure being used. This error typically arises during the processing of transactions that involve tax calculations, such as sales orders, invoices, or other financial documents.
  Cause:
  
  Missing Tax Code: The tax code specified in the transaction is not defined in the tax configuration for the specified country.
  Incorrect Tax Procedure: The tax procedure assigned to the company code or the transaction may not include the tax code for the relevant country.
  Configuration Issues: There may be issues in the configuration of tax settings in the SAP system, such as missing entries in the tax classification or tax determination settings.
  
  Solution:
  To resolve the O1653 error, follow these steps:
  
  
  Check Tax Code Configuration:
  
  Go to the transaction code OBYZ (or navigate through the menu: SPRO > Financial Accounting > Tax on Sales/Purchases > Basic Settings > Check Tax Codes).
  Verify that the tax code in question is defined for the relevant country.
  
  
  
  Define Tax Code:
  
  If the tax code is missing, you will need to create it. Use transaction code FTXP to define the tax code for the specific country.
  Ensure that the tax code is assigned to the correct tax procedure.
  
  
  
  Check Tax Procedure:
  
  Use transaction code OBCL to check the tax procedure assigned to your company code.
  Ensure that the tax procedure includes the tax code for the relevant country.
  
  
  
  Review Tax Classification:
  
  Check the tax classification settings for the relevant master data (e.g., customer or vendor master records) to ensure that the correct tax codes are assigned.
  
  
  
  Test the Configuration:
  
  After making the necessary changes, test the transaction again to ensure that the error is resolved.
  
  
  
  Related Information:
  
  Transaction Codes:
  
  OBYZ: Check Tax Codes
  FTXP: Maintain Tax Codes
  OBCL: Maintain Tax Procedures
  
  
  Documentation: Refer to SAP Help documentation for detailed guidance on tax configuration and procedures.
  Support: If the issue persists after checking the configuration, consider reaching out to your SAP support team or consulting with an SAP expert for further assistance.
  
  By following these steps, you should be able to resolve the O1653 error and ensure that the tax codes are correctly defined and configured in your SAP system.