diff --git a/src/components/ReportActionItem/MoneyRequestView.tsx b/src/components/ReportActionItem/MoneyRequestView.tsx
index 4714a683fac8..5db3f92d5493 100644
--- a/src/components/ReportActionItem/MoneyRequestView.tsx
+++ b/src/components/ReportActionItem/MoneyRequestView.tsx
@@ -23,6 +23,7 @@ import * as CardUtils from '@libs/CardUtils';
 import * as CurrencyUtils from '@libs/CurrencyUtils';
 import type {MileageRate} from '@libs/DistanceRequestUtils';
 import DistanceRequestUtils from '@libs/DistanceRequestUtils';
+import * as ErrorUtils from '@libs/ErrorUtils';
 import * as OptionsListUtils from '@libs/OptionsListUtils';
 import * as PolicyUtils from '@libs/PolicyUtils';
 import {isTaxTrackingEnabled} from '@libs/PolicyUtils';
@@ -84,6 +85,18 @@ type MoneyRequestViewPropsWithoutTransaction = MoneyRequestViewOnyxPropsWithoutT
 
 type MoneyRequestViewProps = MoneyRequestViewTransactionOnyxProps & MoneyRequestViewPropsWithoutTransaction;
 
+const deleteTransaction = (parentReport: OnyxEntry<OnyxTypes.Report>, parentReportAction: OnyxEntry<OnyxTypes.ReportAction>) => {
+    if (!parentReportAction) {
+        return;
+    }
+    const iouTransactionID = ReportActionsUtils.isMoneyRequestAction(parentReportAction) ? ReportActionsUtils.getOriginalMessage(parentReportAction)?.IOUTransactionID ?? '-1' : '-1';
+    if (ReportActionsUtils.isTrackExpenseAction(parentReportAction)) {
+        IOU.deleteTrackExpense(parentReport?.reportID ?? '-1', iouTransactionID, parentReportAction, true);
+        return;
+    }
+    IOU.deleteMoneyRequest(iouTransactionID, parentReportAction, true);
+};
+
 function MoneyRequestView({
     report,
     parentReport,
@@ -103,7 +116,7 @@ function MoneyRequestView({
     const {translate, toLocaleDigit} = useLocalize();
     const [activePolicyID] = useOnyx(ONYXKEYS.NVP_ACTIVE_POLICY_ID);
 
-    const parentReportAction = parentReportActions?.[report.parentReportActionID ?? '-1'] ?? null;
+    const parentReportAction = parentReportActions?.[report.parentReportActionID ?? '-1'];
     const isTrackExpense = ReportUtils.isTrackExpenseReport(report);
     const {canUseViolations, canUseP2PDistanceRequests} = usePermissions(isTrackExpense ? CONST.IOU.TYPE.TRACK : undefined);
     const moneyRequestReport = parentReport;
@@ -391,6 +404,9 @@ function MoneyRequestView({
                             if (!transaction?.transactionID) {
                                 return;
                             }
+                            if (Object.values(transaction?.errors ?? {})?.find((error) => ErrorUtils.isReceiptError(error))) {
+                                deleteTransaction(parentReport, parentReportAction);
+                            }
                             Transaction.clearError(transaction.transactionID);
                             ReportActions.clearAllRelatedReportActionErrors(report.reportID, parentReportAction);
                         }}