Why can't we delete the Inventory Asset account in a service business?

Hi there, @NJ Sherry.

I'd be glad to help share information about deleting accounts in QuickBooks Online (QBO).

Once you create a company in QBO, QuickBooks creates specific accounts for your company by default, and creates other special accounts when certain feature are turned on in the settings.

The default account cannot be deleted or use them for any other purpose. If you try to edit or delete these accounts, any edits to Products/Services will recreate them.

The Inventory Asset account is one of these default accounts, this is the reason why you can't delete this account.

For the lists of accounts that can't be deleted, you can check them below:

• Undeposited Funds
• Opening Balance Equity
• Retained Earnings
• Inventory/Stock Assets and Cost of Goods Sold/Cost of Sales
• Reconcile/Reconciliation Discrepancies
• Unapplied Cash Payment Income
• (Sales tax agency name, such as GST/VAT) Payable

On the other hand, to learn more about the default and special accounts in the Chart of Accounts, you can check this article: How to manage default and special accounts in the Chart of Accounts.

Feel free to add a post/comment below if you have any questions about deleting accounts in QBO, I'll be right here to help you. Have a great day ahead!

Angela,

I'm aware that QB doesn't allow certain accounts to be deleted.

Perhaps I should have stressed the WHY.

Hi @NJ Sherry,

Let me give you additional information about why we can’t delete Inventory Asset.

As a default account, this can't be deleted nor inactivated once you create an inventory product in the Product and Services. 

Feel free to post again if you have other questions. 
 

I can't delete it either and I never created an an inventory product in the Product and Services. I think the correct answer it just can't be delete. It doesn't seem to be predicated on anything else. 

Hello Steve6288,

Since the Inventory/Stock Asset is a default account, deleting it is not possible. QuickBooks created this account automatically to use it for a specific purpose.

Please refer to this support article for more information: How to manage default and special accounts in the Chart of Accounts.

I've also added this link for future reference: https://quickbooks.intuit.com/community/Reports-and-accounting/bd-p/reports-account?label=QuickBooks....

Stay in touch if you have more questions. The Community is always here to help.

Hello ShiellaGraceA,

Looks like we are on the same page.

Thx