Yes, in QuickBooks Online (QBO), you can void a paycheck, but cancelling a direct deposit transaction depends entirely on the status of the paycheck, LDO.
Since payroll was processed last month, voiding the paycheck will only create a negative adjustment that offsets the original payment in your QBO records. However, this action will not automatically withdraw funds from the employee’s bank account because the direct deposit has already been completed. Even if you have submitted payroll to QuickBooks, voiding the paycheck may not stop the debit from your bank account for payroll taxes or the direct deposit itself, depending on the processing timeline.
I recommend contacting our live support team, who have the internal tools to review the issue and provide a tailored solution.
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