Account & & for deductions/discounts must not be tax-relevant

What causes this issue?

The system wants to create an automatic posting for cash discount
deductions or unauthorized deductions in the account in question.
In the company code, no tax adjustment is defined for such deductions
(in table T001 it was specified that the cash discount base is the net
amount). In this case, the account to be posted must not be
tax-relevant.

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 master record of the account mentioned above.

Error message extract from SAP system. Copyright SAP SE.