Subcategories are visible only when there is a service record attached to them. If the subcategory is used by only one Service Record, simply choose a different subcategory for that service, and the unused subcategory will disappear. If the subcategory is used by many services, update each service record to the alternate subcategory.
Check out the video below.
For more information about subcategories, check out: How To: Update the Subcategory
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