QuickBooks Online Sync Error: Invalid Reference Id : Categories cannot be used in transactions.

Why the Sync Error occurs

This error occurs when a bill with Items in Bill.com is attempting to sync to QuickBooks Online, but one or more of the Items on the bill is type "Category" in QuickBooks Online.

How to Fix the Sync Error

To resolve this sync error, follow these steps:

  1. In Bill.com, edit the bill, updating the Items to any not in the Category type
  2. Sync again