The problem is really simple: You issue a query against a linked server and want to use transactions, but you get back an error, something like "The partner transaction manager has disabled its support" or "Distributed transaction coordinator has failed to ..."Ok, this is how you can set-up DTC to make distributed queries to work:
First verify the "Distribute Transaction Coordinator" Service isrunning on both database server computer and client computers
1. Go to "Administrative Tools > Services"
2. Turn on the "Distribute Transaction Coordinator" Service if it is not running.
If it is running and client application is not on the same computer as the database server, on the computer running database server
1. Go to "Administrative Tools > Component Services"
2. On the left navigation tree, go to "Component Services > Computers > My Computer" (you may need to double click and wait as some nodes need time to expand)
3. Right click on "My Computer", select "Properties"
4. Select "MSDTC" tab
5. Click "Security Configuration"
6. Make sure you check "Network DTC Access", "Allow Remote Client", "Allow Inbound/Outbound", "Enable TIP" (Some option may not be necessary, have a try to get your configuration)
7. The service will restart
8. BUT YOU MAY NEED TO REBOOT YOUR SERVER IF IT STILL DOESN'T WORK
On your client computer use the same above procedure to open the "Security Configuration" setting, make sure you check "Network DTC Access", "Allow Inbound/Outbound" option, restart service and computer if necessary.
On you SQL server service manager, click "Service" dropdown, select "Distribute Transaction Coordinator", it should be also running on your server computer.
Click here to see the MSDN thread with the original link by mornigsunshine.
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