R12: Error When Calculating Tax When Default Recovery Settlement Option Code is DEFERRED (Doc ID 2275669.1)

Last updated on JUNE 14, 2017

Applies to:

Oracle Payables - Version 12.1.3 and later
Information in this document applies to any platform.

Symptoms

On :  12.1.3 version, Invoices Prepayment Issues
When user attempts to calculate tax, the following error message occurs: 

ERROR
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Unexpected error occurred during Tax Calculation.Exception: The Tax Recoverable /Liability account has not been setup for either the tax rate or the account source tax rate.

Please enter it using the Tax Rate Accounts window.(TAXRATE=...) (SOURCE_TAXRATE= Tax Recovery Rate)

STEPS
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The issue can be reproduced at will with the following steps:
1. Payables responsibility, navigate to Invoices->Entry
2. Find the invoice
3. Click Calculate Tax

BUSINESS IMPACT
-----------------------
The issue has the following business impact:
Due to this issue, users cannot calculate tax for the invoice.

Cause

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