How To Fix UCFP004 - Source document type &1 does not post with deferred taxes

SAP Error Message - Details

• Message type: E = Error

• Message class: UCFP - Messages for Period Initialization

• Message number: 004

• Message text: Source document type &1 does not post with deferred taxes

What causes this issue?

All source document types that you specify in the document type
assignment for the adjustment of deferred taxes have to post with
deferred taxes.
However, document type &V1& does 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?

Correct the document type assignment for the adjustment of deferred
taxes by only using those document types as source document type that
post with deferred taxes.

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 UCFP004 - Source document type &1 does not post with deferred taxes ?

  The SAP error message UCFP004 indicates that the source document type specified (represented by &1) does not support posting with deferred taxes. This error typically arises in the context of financial postings where deferred tax accounting is involved, such as in the case of tax deferrals for certain transactions.
  Cause:
  
  Document Type Configuration: The document type used for the transaction may not be configured to allow deferred tax postings. This can happen if the document type is not set up to handle tax deferrals in the system.
  Tax Configuration: The tax configuration for the specific document type may not include the necessary settings for deferred taxes.
  Transaction Type: The nature of the transaction may not be compatible with deferred tax accounting, meaning that the system does not recognize it as a valid case for deferred tax treatment.
  
  Solution:
  
  
  Check Document Type Settings:
  
  Go to the configuration settings for document types in SAP (Transaction Code: OBA7).
  Verify that the document type in question is configured to allow deferred tax postings. If not, you may need to adjust the settings or create a new document type that supports deferred taxes.
  
  
  
  Review Tax Configuration:
  
  Check the tax configuration settings (Transaction Code: OB40 or similar) to ensure that the relevant tax codes and settings for deferred taxes are correctly defined.
  Ensure that the tax codes used in the transaction are set up to allow for deferred tax treatment.
  
  
  
  Consult with Finance Team:
  
  Discuss with your finance or accounting team to understand the specific requirements for deferred tax postings and ensure that the document type aligns with these requirements.
  
  
  
  Testing:
  
  After making any changes, perform test transactions to ensure that the error does not occur again and that the deferred tax postings are processed correctly.
  
  
  
  Related Information:
  
  SAP Notes: Check for any relevant SAP Notes that may address this specific error or provide additional guidance on configuring document types for deferred taxes.
  Documentation: Review SAP documentation related to tax accounting and deferred taxes to understand the implications and requirements for your specific business processes.
  User Forums: Consider searching or posting in SAP community forums for insights from other users who may have encountered and resolved similar issues.
  
  By following these steps, you should be able to identify the cause of the UCFP004 error and implement a solution to resolve it.