MOSS tax code &1 is not permitted in company code &2

What causes this issue?

Tax code &V1& is intended for use in the MOSS declaration. MOSS tax
codes are reserved for electronic services for private customers in the
European Union that are to be reported using the Mini One Stop Shop
procedure.
Company code &V2& is assigned either to a MOSS registration in country
&V3& or to a registration that contains a plant in country &V3&. Tax
code &V1& is intended for services for customers with their headquarters
in country &V3&. This combination is not allowed for MOSS. The
transaction must be reported in the advance return for tax on
sales/purchases for the country &V3&.

System Response

The transaction cannot be posted.

How to fix this error?

Use a different tax code.

Procedure for System Administrators

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

Error message extract from SAP system. Copyright SAP SE.