Unable to begin a distributed transaction using linked server.

One of my client reported me that they are getting below given error when they were executing a query similar to below.


insert into <Table Nam> exec <LinkedServer Name>.<schema>.<DB Name>.<SP Name>


OLE DB provider "SQLNCLI" for linked server "LinkedServer Name" returned message "No transaction is active.".
Msg 7391, Level 16, State 2, Line 3
The operation could not be performed because OLE DB provider "SQLNCLI" for linked server "LinkedServer Name" was unable to begin a distributed transaction.

The below Setting Resolved the issue. I had to do the same in both servers.

1. open up "Component Services"

Control Panel > Administrative tools > Component Services

2. in Component Servies, right click "My Computer" and select "Properties"

Console Root > Component Services > Computers > My Computer

3. select the "MSDTC" tab (Select appropriate MSDTC if its clustered) , and click "Security Configuration" in the "Transaction Configuration" group box

4. Enable Allow inbound and Allow outbound.

5. in "Security Settings" > "Transaction Manager Communication"

select "No Authentication Required"

6. restart the DTC service (should do so automatically).