How To Fix UCF4112 - Document type &1: Incorrect setting for deferred taxes

SAP Error Message - Details

• Message type: E = Error

• Message class: UCF4 - Messages on Reclassification

• Message number: 112

• Message text: Document type &1: Incorrect setting for deferred taxes

What causes this issue?

You have assigned document type &V1& to reclassification task &V2&. In
this task, you have selected the <LS>Assets Held for Sale</> checkbox.
In this case, you must select the setting for deferred taxes in the
document type based on the additional settings in the task or method as
follows:
If you did <ZH>not</> select the <LS>Valuation Allowance of
Assets/Liabilities</> checkbox in the reclassification task, the
document type for the reclassification must <ZH>not</> post with
deferred taxes.
If you <ZH>selected</> the <LS>Valuation Allowance of Assets/Liabilities
</> checkbox in the reclassification task, the following applies:
If, in the reclassification method, you have selected processing type
<LS>Consolidation Units Held for Sale</> or <LS>Discontinued
Consolidation Units Without Sale</> in the <LS>Processing Type of Assets
Held for Sale</> field, the document type for the reclassification <ZH>
must</> post with deferred taxes.
If, in the reclassification method, you have selected processing type
<LS>Discontinued Consolidation Units</> in the <LS>Processing Type of
Assets Held for Sale</> field, the document type for the
reclassification <ZH>must not</> post with deferred taxes.

System Response

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

How to fix this error?

Adjust the Customizing settings for reclassification task &V2& by
assigning the task a document type that meets the requirements for the
settings for deferred taxes outlined above.

Procedure for System Administrators

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message UCF4112 - Document type &1: Incorrect setting for deferred taxes ?

  The SAP error message UCF4112 indicates that there is an issue with the configuration of deferred taxes for a specific document type. This error typically arises in the context of financial accounting and tax reporting within the SAP system.
  Cause:
  The error message UCF4112 is triggered when the system detects that the settings for deferred taxes associated with a particular document type are incorrect or incomplete. This can happen due to several reasons, including:
  
  Incorrect Configuration: The document type may not be properly configured to handle deferred taxes in the system.
  Missing Tax Codes: The tax codes associated with the document type may not be set up to allow for deferred tax processing.
  Inconsistent Settings: There may be inconsistencies in the settings for deferred taxes across different document types or company codes.
  Changes in Tax Regulations: Updates or changes in tax regulations may require adjustments in the configuration of deferred taxes.
  
  Solution:
  To resolve the UCF4112 error, you can follow these steps:
  
  
  Check Document Type Configuration:
  
  Go to the configuration settings for the document type in question (Transaction Code: OBA7).
  Ensure that the document type is correctly set up to handle deferred taxes.
  
  
  
  Review Tax Code Settings:
  
  Check the tax codes associated with the document type (Transaction Code: OB40).
  Ensure that the tax codes are configured to allow for deferred tax processing.
  
  
  
  Verify Company Code Settings:
  
  Ensure that the company code settings for deferred taxes are correctly configured (Transaction Code: OBCO).
  Check if the relevant tax categories and settings are in place.
  
  
  
  Consult Documentation:
  
  Review SAP documentation or notes related to deferred taxes and the specific document type to ensure compliance with current regulations.
  
  
  
  Testing:
  
  After making the necessary changes, perform a test transaction to ensure that the error no longer occurs.
  
  
  
  Consult with SAP Support:
  
  If the issue persists, consider reaching out to SAP support for further assistance, especially if there are complex configurations involved.
  
  
  
  Related Information:
  
  Transaction Codes: Familiarize yourself with relevant transaction codes such as OBA7 (Document Type Configuration), OB40 (Tax Code Configuration), and OBCO (Company Code Configuration).
  SAP Notes: Check for any SAP Notes related to deferred taxes and the specific error message for additional guidance or patches.
  User Forums: Engage with SAP community forums or user groups where similar issues may have been discussed, providing insights or solutions from other users.
  
  By following these steps, you should be able to identify and correct the configuration issues leading to the UCF4112 error message in SAP.