Error FS206 Down pmnts w/ taxes not permitted when processing with jur.code

Question

Issue:   I am encountering a problem entering Taxes when applying  down payments received from customers since we are using a jurisdiction code taxation procedure.  This process works as desired in Europe for our firm.  I found OSS 97288 which is not valid for version ECC 6.0.  Please assist due to US go-live in 2 weeks.Process:  Create Down Payment Request for cash in advance.  Required to tax at this point.  Billing document creates a noted item in the G/L (Special G/L).  I apply customer's payment via transaction F-29 and receive error "FS206 Down pmnts with taxes are not permitted when processing with jur.code."
Settings:  1) Alternative Recon account for Special GL posting has The tax category on the GL account = B "Output tax - down payments managed gross."  2) Transaction OBXB specifies tax clearing account for transaction key MVA.  This G/Laccount has same tax category setting (B). My settings work perfectly for Europe since they are not taxed via juridicition codes.
Thank you in advance!

Answer 1

Check the GL master of the alternative recon account. Ideally there should be no setting in the tax fields as there is no tax calculated on down payment but only on the final amount. Leave the tax fiel blank and do not check mark posting without tax allowed.