3423090 - Error FH085 - "Account still has balance...." raised while trying to change "Only balances in local currency" flag - SAP S/4HANA Cloud

When trying to change “only balances in local currency” flag in Manage G/L Account Master Data for a G/L Account, and get the error "Account still has balance...." (Message no. FH085).

SAP S/4HANA Cloud Public Edition

1. Go to App Manage G/L Account Master Data or SSCUI/Activity 150001
2. Enter the parameters for the G/L account in question (G/L account number, Company Code).
3. Go to the "Control" tab.
4. Try to remove flag “only balances in local currency” .
5. The system gives Message no. FH085 "Account still has balance......".

The account has a balance not equal to zero. 

Balance Check Requirement for Changing Currency Settings

To safely change the "Only balances in local currency" indicator in the P system, the account balance must be zero for the current fiscal year and the two preceding fiscal years. This is necessary because journal entries from the last three fiscal years can typically be reversed, and the system performs a balance check across this period of time as a result.

Therefore, please ensure the balances for these three fiscal years are set to zero in all currencies before making this change.

Key Implications of the Change

Once the indicator is changed, it should not reverse or clear previously posted documents.

Changing this setting could lead to inconsistencies in how transaction currency is updated, particularly if reversing an old posting that used the previous update logic.

Example of Potential Inconsistency:

• If the "Only balances in local currency" flag is deactivated for an account (e.g., in October 2023), it means balances were only updated in local currency before that date.

• Reversing a foreign currency document from a previous fiscal year (e.g., 2021 or 2022) after the change will update the total table in foreign currency.

• This creates an inconsistency because the original and reversal documents are saved with different currency updates in the total table.

Exception

It is permitted to toggle the "Only balances in local currency" setting even if a non-zero balance exists, provided all postings on the account are in the same currency as the company code currency.

• SAP Help Portal: Maintaining Your Chart of Accounts (Two-System Landscape) - How to Make Changes
• SAP Help Portal: Chart of Accounts Maintenance in a 3-System Landscape

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