Are you referring to removing a bank account from the Chart of Accounts, @CAROL145.
If the account is connected to online banking, you can disconnect it. This stops QuickBooks from downloading new transactions while keeping your existing data intact.
Before making the account inactive, please review the following:
- Accounts cannot be permanently deleted; the only way to remove one completely is by merging it with another account.
- Making an account inactive does not delete its transactions. All transactions linked to the inactive account will remain unchanged.
- Before deactivating a balance sheet account, ensure its balance is zero. If not, QuickBooks Online will create an automatic adjustment entry to zero it out, posting it to the Opening Balance Equity account. This adjustment may affect past years and could lead to incorrect tax filings.
It’s best to consult your accountant to ensure your records stay accurate, prevent errors, and advise you on selecting the appropriate accounts or better ways to record transactions.
When you're ready to make an account inactive, you can follow these steps:
- Go to the Gear icon, then select Chart of accounts.
- Find the account you want to delete.
- Under the Action column, click the drop-down arrow next to the View register link.
- Select Make inactive and hit Yes to confirm.
Be sure to reconcile your accounts in QuickBooks Online each month to ensure they are accurate and balanced.
If you need assistance managing bank accounts in QBO, consider consulting our QuickBooks Live Expert Assisted. They can provide valuable tips and support efficiently.
Don't hesitate to comment below if you have further questions about closing a bank account in QuickBooks Online.
