Let me clarify the options for managing payroll tax settings, @sramaraju.
If you are referring to the state tax in the Payroll Settings, there isn’t an option to manually disable it. However, it will be automatically removed if you delete or terminate an employee linked to that state, as long as no paychecks have been created for them.

If you’re referring to the Work locations, there’s no option to delete them if the work location is set as your primary location. If it’s an additional location, you can remove it, but only after deleting any associated employees who haven’t received paychecks.
Please let us know if you have further concerns.