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Hello @hafiz-sysilscorp,
You can mark your tax account and tax item as inactive so you can delete them. But it can only be deleted once it has no open transaction associated with it. I'll show you how.
To delete an account:
To delete a tax item:
Lastly, here are helpful articles you can read for ideas about your account management: Reports for QuickBooks Online.
Keep me posted in the comments if you have any other questions. I'll be here to help.
Greetings,
Thanks for your response. I have already tried with the said procedure but when I click on "make inactive" it says "You cannot change or delete this account as it is used by the system to track tax amounts." Please advise?
Thanks,
Hafiz Javed
Thanks for coming back for more support, @hafiz-sysilscorp. QuickBooks uses certain accounts as default accounts.
Sales tax is one of the default accounts created when you set it up and report it in each transaction. This is why you're unable to inactivate it.
To learn more insights about default or special accounts in QuickBooks, read through this article: Manage default and special accounts in your chart of accounts.
Just in case, check out our available resources in the QuickBooks Articles hub. It helps you learn about managing your taxes such as adding or editing your sales tax rate, and so much more.
Feel free to message us again if you have more questions. We're always delighted to assist.
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