How To Fix VAL821 - Positive Impairment was posted

SAP Error Message - Details

• Message type: E = Error

• Message class: VAL - Treasury: Messages for General Valuation

• Message number: 821

• Message text: Positive Impairment was posted

What causes this issue?

A two-step impairment procedure is used, consisting of (security)
impairment and FX impairment. The total impairment is a write-down (of
the book value). However, the impairment will sonsist of a (partial)
write-up in one of the components (FX impairment or (security)
impairment): A positive impairment is posted.

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?

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 VAL821 - Positive Impairment was posted ?

  The SAP error message VAL821 ("Positive Impairment was posted") typically occurs in the context of asset accounting when there is an attempt to post a transaction that is not allowed due to the current status of the asset. This error is often related to the impairment of fixed assets, where a positive impairment (an increase in the asset's value) has been recorded, which is not permissible under certain accounting standards or business rules.
  Cause:
  
  Positive Impairment Posting: The error indicates that a positive impairment has been posted for an asset. In accounting terms, impairments usually refer to a reduction in the carrying amount of an asset when its market value falls below its book value. A positive impairment suggests an increase in value, which is generally not allowed.
  Incorrect Transaction Type: The transaction type being used may not be appropriate for the current status of the asset.
  Configuration Issues: There may be configuration settings in the asset accounting module that do not allow for positive impairments or that are incorrectly set up.
  
  Solution:
  
  Review Asset Transactions: Check the asset history to see if a positive impairment was indeed posted. If it was posted in error, you may need to reverse that transaction.
  Correct Transaction Type: Ensure that the correct transaction type is being used for the posting. If you are trying to increase the asset's value, consider using a different transaction type that is appropriate for capitalizing improvements or enhancements.
  Consult Accounting Policies: Review your organization's accounting policies to ensure compliance with relevant standards (e.g., IFRS, GAAP) regarding asset impairments.
  Configuration Check: If you have access, check the configuration settings in the Asset Accounting module to ensure that they are set up correctly to handle impairments.
  Consult SAP Documentation: Refer to SAP documentation or help resources for specific guidance on handling asset impairments and related transactions.
  
  Related Information:
  
  SAP Notes: Check SAP Notes for any known issues or patches related to this error message.
  Transaction Codes: Familiarize yourself with relevant transaction codes in SAP for asset accounting, such as AS01 (Create Asset), AS02 (Change Asset), and AS03 (Display Asset).
  User Roles: Ensure that the user attempting the transaction has the necessary authorizations to post asset transactions.
  
  If the issue persists after following these steps, it may be beneficial to consult with your SAP support team or a financial consultant who specializes in SAP Asset Accounting.