Azure SQL Audit Configuration Fails Across Subscription Boundaries

Azure SQL Database administrators frequently encounter a frustrating obstacle when attempting to configure auditing across subscription boundaries: the deployment fails with cryptic error messages that point to permission issues between the SQL resource and the destination Log Analytics workspace. This problem manifests when Azure SQL resources and Log Analytics workspaces reside in different Azure subscriptions, creating a cross-subscription auditing scenario that the Azure portal struggles to handle gracefully.

The core issue stems from a permission mismatch where the client has appropriate rights on the target Log Analytics workspace but lacks authorization to access the linked subscription containing that workspace. The error message typically references the Microsoft.OperationalInsights/workspaces/sharedKeys/action permission on a diagnostic settings scope, indicating that while the user can theoretically perform the auditing action, the current tenant context cannot access the subscription hosting the Log Analytics workspace.

A particularly insidious aspect of this problem involves the Master database. Azure SQL Database's Master database cannot be configured through the Azure portal interface, yet auditing configurations can become stuck at this level. When auditing fails, the portal may show no settings configured, but PowerShell reveals lingering audit configurations that prevent new setups from succeeding. This creates a situation where the user sees a clean slate in the portal but encounters persistent failures during deployment attempts.

The troubleshooting process requires a systematic approach using PowerShell to uncover and remove these hidden configurations. First, administrators should verify the current state using the Get-AzSqlServerAudit and Get-AzSqlDatabaseAudit cmdlets to check both server-level and database-level audit settings. The Master database requires special attention since it cannot be managed through the portal interface.

Once stuck configurations are identified, they must be carefully removed using Remove-AzSqlServerAudit and Remove-AzSqlDatabaseAudit cmdlets. This cleanup process is essential because residual audit metadata from previous failed attempts can interfere with new configuration deployments. The removal must be thorough, addressing both server-level and database-level settings to ensure a clean state.

After completing the PowerShell cleanup and confirming through both portal and PowerShell that no audit settings remain, administrators can proceed with setting up SQL auditing according to their requirements. This approach works not only for cross-subscription scenarios but also for situations where the portal fails to apply configuration changes due to inconsistent or leftover auditing metadata, even when resources exist within the same subscription.

The root cause of these issues often relates to insufficient visibility or permissions on the destination Log Analytics subscription, or incomplete removal of previous auditing configurations. When an auditing setup fails midway through the configuration process, it can leave behind partial settings that the portal cannot properly manage or display, creating a state of inconsistency that only PowerShell can resolve.

This problem highlights the limitations of the Azure portal when dealing with complex cross-subscription resource management scenarios. While the portal provides a user-friendly interface for common configurations, it lacks the granular control and visibility needed to troubleshoot and resolve issues that span subscription boundaries or involve system databases like Master.

For organizations implementing comprehensive auditing strategies across multiple Azure subscriptions, this issue underscores the importance of understanding the underlying PowerShell cmdlets and having appropriate permissions configured across all involved subscriptions. The ability to diagnose and resolve these configuration issues programmatically becomes essential for maintaining security compliance and audit trail integrity across complex Azure environments.

The solution requires careful coordination between database administrators and subscription owners to ensure proper permissions are granted and that cleanup operations are performed correctly. Once the stuck configurations are removed and permissions are properly aligned, auditing can be successfully configured to meet organizational security requirements and compliance standards.

This scenario serves as a reminder that while cloud platforms like Azure provide powerful automation and management capabilities, they also introduce complexity when resources span organizational boundaries. Understanding these limitations and having the right tools and permissions in place is crucial for successful implementation of security features like SQL auditing in multi-subscription environments.