QB Issue Resolution:

Even if it were possible you should not do it if the ‘inventory item’ has history that spans back into prior closed period(s).

Even if you answer ‘no’ to the ‘change prior transactions’ questions there is a real risk that closed period transactions will change – which will definitely change prior period income , inventory and RE.

Resolution for Issue 'Change inventory item to non-inventory item' available: Yes (Solved).
Source: Intuit Community forum.

Change inventory item to non-inventory item: this issue or error code is a known issue in Quickbooks Online (QBO) and/or Quickbooks. Support for this issue is available either by self-service or paid support options. Experts are available to resolve your Quickbooks issue to ensure minimal downtime and continue running your business. First try to resolve the issue yourself by looking for a resolution described below. If it is a complex issue or you are unable to solve the issue, you may contact us by clicking here or by using other support options.

Support for Noninventory Item
Quickbooks Repair Pro will resolve it efficiently and affordably. Guaranteed resolution of your issue, or you pay nothing!

Error Recovery for Noninventory Item [Canada]
E-Tech is the #1 Quickbooks data migration and Conversion service provider.

Get 50% off Quickbooks Online

Click Here for 50% off!

Additional Support Options: