You can write off this inventory item by creating a sales receipt with zero sales, @mikelu9661.
Here's how:
- Select + New and choose Sales receipt.
- Choose the name of the customer.
- Enter the service date, product/service, and description.
- Add the number of items that you'll be going to write off under the QTY column.
- Leave the Rate column zero ($0).
- Select Save once you're done.
This will reduce the inventory and will record the COGS as an expense. Check this article for more information: Create and send a sales receipt.
Here's also more information on how to track your inventory: Set up and track your inventory in QuickBooks Online.
Let me know if there's anything that you need. I'm always here to assist. Have a wonderful day!