Welcome to the Community, @judy109.

Allow me to share information on removing a state in your Payroll Taxes in QuickBooks Online (QBO).

Yes, you can remove a state in your Payroll Taxes in QBO. However, you must ensure that this location is not designated as your primary location and that there are no employees assigned to this location or payrolls running for this location.

Here's how:

1. Go to the Gear icon, then choose Payroll Settings.
2. Locate Work Locations, then click the pencil icon to make some changes.
3. Select the exact state, then hit Edit.
4. Click on the Delete work location, then hit Save.

Moreover, I’ll be leaving you with the following articles that entail exempting your employees from Federal or State Withholding taxes and setting up your employee's payroll taxes in a new state:

• Exempt your employees from Federal or State Withholding
• Set up employees and payroll taxes in a new state

If you have any further questions about QuickBooks, leave a comment below. I'll be glad to help you out. Have a great day ahead!