The taxpayer resource cannot be deleted, but it can be disabled instead. This can be useful in cases where a taxpayer was created by mistake in the LIVE environment, or as part of offboarding when the managed organization is no longer in use.
When a taxpayer is disabled, no new clients or signers can be created under it. However, existing metadata remains accessible if needed.
Before disabling the taxpayer, all associated signers and clients must also be disabled. Otherwise, the request will not be accepted. Once that is done, you can call the PATCH /taxpayer endpoint with "state": "DISABLED" in the request body.
Keep in mind that disabling a taxpayer is permanent and cannot be reversed.