Changing the Level of an account that is associated with a 1099 Category

Hello,

Trying to add an account in the COA and make it a subaccount to another. I haven't run into the problem before and the solution presented doesn't seem to help.

I am being given an error "to change the level of this account, you must delete the association in 1099 Preferences". I went there and I went to the wizard, made the necessary changes and saved, yet still unable to create a subaccount.