Resolved issue_Category - Parent category is disabled when selected

src/CONST/index.ts

@@ -6403,7 +6403,7 @@ const CONST = {
         PM: 'PM',
     },
     INDENTS: '    ',
-    PARENT_CHILD_SEPARATOR: ': ',
+    PARENT_CHILD_SEPARATOR: ':',
     DISTANCE_MERCHANT_SEPARATOR: '@',
     COLON: ':',
     MAPBOX: {

src/components/MoneyRequestConfirmationList/sections/CategoryField.tsx

@@ -4,7 +4,7 @@ import MenuItemWithTopDescription from '@components/MenuItemWithTopDescription';
 import {useMemoizedLazyExpensifyIcons} from '@hooks/useLazyAsset';
 import useLocalize from '@hooks/useLocalize';
 import useThemeStyles from '@hooks/useThemeStyles';
-import {getDecodedCategoryName} from '@libs/CategoryUtils';
+import {getDecodedLeafCategoryName} from '@libs/CategoryUtils';
 import Navigation from '@libs/Navigation/Navigation';
 import {getCategory, willFieldBeAutomaticallyFilled} from '@libs/TransactionUtils';
 import CONST from '@src/CONST';
@@ -50,7 +50,7 @@ function CategoryField({
 
     const shouldDisplayCategoryError = formError === 'violations.categoryOutOfPolicy';
     const iouCategory = getCategory(transaction);
-    const decodedCategoryName = getDecodedCategoryName(iouCategory);
+    const decodedCategoryName = getDecodedLeafCategoryName(iouCategory);
 
     const getCategoryRightLabelIcon = () => (willFieldBeAutomaticallyFilled(transaction, 'category') ? icons.Sparkles : undefined);
     const getCategoryRightLabel = () => {

src/components/MoneyRequestReportView/MoneyRequestReportGroupHeader.tsx

@@ -8,6 +8,7 @@ import useLocalize from '@hooks/useLocalize';
 import useResponsiveLayoutOnWideRHP from '@hooks/useResponsiveLayoutOnWideRHP';
 import useTheme from '@hooks/useTheme';
 import useThemeStyles from '@hooks/useThemeStyles';
+import {getDecodedLeafCategoryName} from '@libs/CategoryUtils';
 import {getCommaSeparatedTagNameWithSanitizedColons} from '@libs/PolicyUtils';
 import variables from '@styles/variables';
 import CONST from '@src/CONST';
@@ -69,10 +70,9 @@ function MoneyRequestReportGroupHeader({
     const {shouldUseNarrowLayout: shouldUseNarrowLayoutHook} = useResponsiveLayoutOnWideRHP();
     const shouldUseNarrowLayout = shouldUseNarrowLayoutProp ?? shouldUseNarrowLayoutHook;
 
-    const cleanedGroupName = isGroupedByTag && group.groupName ? getCommaSeparatedTagNameWithSanitizedColons(group.groupName) : group.groupName;
+    const cleanedGroupName = isGroupedByTag && group.groupName ? getCommaSeparatedTagNameWithSanitizedColons(group.groupName) : getDecodedLeafCategoryName(group.groupName);
     const displayName = cleanedGroupName || translate(isGroupedByTag ? 'reportLayout.noTag' : 'reportLayout.uncategorized');
     const formattedAmount = convertToDisplayString(group.subTotalAmount, currency);
-
     const shouldShowCheckbox = isSelectionModeEnabled || !shouldUseNarrowLayout;
 
     const textStyle = shouldUseNarrowLayout ? {fontSize: variables.fontSizeLabel, lineHeight: 16} : [styles.labelStrong];

src/components/ReportActionItem/MoneyRequestView.tsx

@@ -44,7 +44,7 @@ import {updateMoneyRequestBillable, updateMoneyRequestReimbursable, updateMoneyR
 import initSplitExpense from '@libs/actions/SplitExpenses';
 import {enrichAndSortAttendees, getIsMissingAttendeesViolation} from '@libs/AttendeeUtils';
 import {getBrokenConnectionUrlToFixPersonalCard, getCompanyCardDescription} from '@libs/CardUtils';
-import {getDecodedCategoryName, isCategoryMissing} from '@libs/CategoryUtils';
+import {getDecodedLeafCategoryName, isCategoryMissing} from '@libs/CategoryUtils';
 import DistanceRequestUtils from '@libs/DistanceRequestUtils';
 import getNonEmptyStringOnyxID from '@libs/getNonEmptyStringOnyxID';
 import {getRateFromMerchant} from '@libs/MergeTransactionUtils';
@@ -679,7 +679,7 @@ function MoneyRequestView({
     const merchantCopyValue = !canEditMerchant ? updatedMerchantTitle : undefined;
     const dateCopyValue = !canEditDate ? transactionDate : undefined;
     const categoryValue = updatedTransaction?.category ?? categoryForDisplay;
-    const decodedCategoryName = getDecodedCategoryName(categoryValue);
+    const decodedCategoryName = getDecodedLeafCategoryName(categoryValue);
     const categoryCopyValue = !canEdit ? decodedCategoryName : undefined;
     const cardCopyValue = cardProgramName;
     const taxRateValue = hasTaxValueChanged ? taxValue : (transaction?.taxName ?? taxRateTitle ?? fallbackTaxRateTitle ?? '');

src/components/ReportActionItem/TransactionPreview/TransactionPreviewContent.tsx

@@ -22,7 +22,7 @@ import useReportIsArchived from '@hooks/useReportIsArchived';
 import useTheme from '@hooks/useTheme';
 import useThemeStyles from '@hooks/useThemeStyles';
 import {getBrokenConnectionUrlToFixPersonalCard} from '@libs/CardUtils';
-import {getDecodedCategoryName} from '@libs/CategoryUtils';
+import {getDecodedLeafCategoryName} from '@libs/CategoryUtils';
 import getNonEmptyStringOnyxID from '@libs/getNonEmptyStringOnyxID';
 import {calculateAmount} from '@libs/IOUUtils';
 import Parser from '@libs/Parser';
@@ -391,7 +391,7 @@ function TransactionPreviewContent({
                                                         numberOfLines={1}
                                                         style={[isDeleted && styles.lineThrough, styles.textMicroSupporting, styles.pre, styles.flexShrink1]}
                                                     >
-                                                        {getDecodedCategoryName(category ?? '')}
+                                                        {getDecodedLeafCategoryName(category ?? '')}
                                                     </Text>
                                                 </View>
                                             )}

src/components/SelectionList/ListItem/SplitListItem.tsx

@@ -12,7 +12,7 @@ import {useMemoizedLazyExpensifyIcons} from '@hooks/useLazyAsset';
 import useLocalize from '@hooks/useLocalize';
 import useTheme from '@hooks/useTheme';
 import useThemeStyles from '@hooks/useThemeStyles';
-import {getDecodedCategoryName} from '@libs/CategoryUtils';
+import {getDecodedLeafCategoryName} from '@libs/CategoryUtils';
 import {getCommaSeparatedTagNameWithSanitizedColons} from '@libs/PolicyUtils';
 import variables from '@styles/variables';
 import CONST from '@src/CONST';
@@ -94,7 +94,7 @@ function SplitListItem<TItem extends ListItem>({
     const textContentAccessibilityLabel = [
         splitItem.headerText,
         splitItem.merchant,
-        splitItem.category ? getDecodedCategoryName(splitItem.category) : undefined,
+        splitItem.category ? getDecodedLeafCategoryName(splitItem.category) : undefined,
         splitItem.tags?.at(0) ? getCommaSeparatedTagNameWithSanitizedColons(splitItem.tags.at(0) ?? '') : undefined,
     ]
         .filter(Boolean)
@@ -173,7 +173,7 @@ function SplitListItem<TItem extends ListItem>({
                                         numberOfLines={1}
                                         style={[styles.textMicroSupporting, styles.pre, styles.flexShrink1]}
                                     >
-                                        {getDecodedCategoryName(splitItem.category)}
+                                        {getDecodedLeafCategoryName(splitItem.category)}
                                     </Text>
                                 </View>
                             )}

src/components/TransactionItemRow/DataCells/CategoryCell.tsx

@@ -7,7 +7,7 @@ import type {EditableProps} from '@components/Table/EditableCell';
 import TextWithTooltip from '@components/TextWithTooltip';
 import {useMemoizedLazyExpensifyIcons} from '@hooks/useLazyAsset';
 import useThemeStyles from '@hooks/useThemeStyles';
-import {getDecodedCategoryName, isCategoryMissing} from '@libs/CategoryUtils';
+import {getDecodedLeafCategoryName, isCategoryMissing} from '@libs/CategoryUtils';
 import type TransactionDataCellProps from './TransactionDataCellProps';
 
 type CategoryCellProps = TransactionDataCellProps &
@@ -21,7 +21,7 @@ function CategoryCell({shouldUseNarrowLayout, shouldShowTooltip, transactionItem
     const {isEditing, anchorRef, isPopoverVisible, popoverPosition, isInverted, startEditing, cancelEditing} = usePopoverEditState({canEdit});
 
     // For display: decoded category name for user-readable text
-    const categoryForDisplay = isCategoryMissing(transactionItem?.category) ? '' : getDecodedCategoryName(transactionItem?.category ?? '');
+    const categoryForDisplay = isCategoryMissing(transactionItem?.category) ? '' : getDecodedLeafCategoryName(transactionItem?.category ?? '');
 
     // For picker comparison: raw category name (empty if missing, matches IOURequestStepCategory)
     const categoryForComparison = isCategoryMissing(transactionItem?.category) ? '' : (transactionItem?.category ?? '');

src/libs/CategoryOptionListUtils.ts

@@ -8,7 +8,7 @@ import type {PolicyCategories} from '@src/types/onyx';
 import type * as OnyxCommon from '@src/types/onyx/OnyxCommon';
 import {isEmptyObject} from '@src/types/utils/EmptyObject';
 import times from '@src/utils/times';
-import {getDecodedCategoryName} from './CategoryUtils';
+import {getDecodedCategoryName, processCategoryNameSegments} from './CategoryUtils';
 import type {OptionTree} from './OptionsListUtils';
 import tokenizedSearch from './tokenizedSearch';
 
@@ -29,32 +29,11 @@ type Hierarchy = Record<string, Category & {[key: string]: Hierarchy & Category}
  * @param options - an initial object array
  * @param options[].enabled - a flag to enable/disable option in a list
  * @param options[].name - a name of an option
- * @param [isOneLine] - a flag to determine if text should be one line
  */
-function getCategoryOptionTree(options: Record<string, Category> | Category[], isOneLine = false, selectedOptions: Category[] = []): OptionTree[] {
+function getCategoryOptionTree(options: Record<string, Category> | Category[], selectedOptions: Category[] = []): OptionTree[] {
     const optionCollection = new Map<string, OptionTree>();
     for (const option of Object.values(options)) {
-        if (isOneLine) {
-            if (optionCollection.has(option.name)) {
-                continue;
-            }
-
-            const decodedCategoryName = getDecodedCategoryName(option.name);
-            optionCollection.set(option.name, {
-                text: decodedCategoryName,
-                keyForList: option.name,
-                searchText: option.name,
-                tooltipText: decodedCategoryName,
-                isDisabled: !option.enabled || option.pendingAction === CONST.RED_BRICK_ROAD_PENDING_ACTION.DELETE,
-                isSelected: !!option.isSelected,
-                pendingAction: option.pendingAction,
-            });
-
-            continue;
-        }
-
-        const array = option.name.split(CONST.PARENT_CHILD_SEPARATOR);
-
+        const array = processCategoryNameSegments(option.name);
         for (let index = 0; index < array.length; index++) {
             const optionName = array.at(index);
             if (!optionName) {
@@ -63,20 +42,27 @@ function getCategoryOptionTree(options: Record<string, Category> | Category[], i
 
             const indents = times(index, () => CONST.INDENTS).join('');
             const isChild = array.length - 1 === index;
-            const searchText = array.slice(0, index + 1).join(CONST.PARENT_CHILD_SEPARATOR);
+
+            // For leaf categories, use the original full name so it matches the policy.
+            // For parent categories, build the path from the processed segments.
+            const searchText = isChild ? option.name : array.slice(0, index + 1).join(CONST.PARENT_CHILD_SEPARATOR);
             const selectedParentOption = !isChild && Object.values(selectedOptions).find((op) => op.name === searchText);
-            const isParentOptionDisabled = !selectedParentOption || !selectedParentOption.enabled || selectedParentOption.pendingAction === CONST.RED_BRICK_ROAD_PENDING_ACTION.DELETE;
+            const optionParent = !isChild && Object.values(options).find((op) => op.name === searchText);
+            const parentOption = selectedParentOption ?? optionParent;
+
+            const isParentOptionDisabled = !parentOption || !parentOption.enabled || parentOption.pendingAction === CONST.RED_BRICK_ROAD_PENDING_ACTION.DELETE;
 
             if (optionCollection.has(searchText)) {
                 continue;
             }
-
-            const decodedCategoryName = getDecodedCategoryName(optionName);
+            const leafName = getDecodedCategoryName(optionName.trim());
+            const decodedCategoryName = getDecodedCategoryName(option.name);
+            const tooltipText = isChild ? decodedCategoryName : getDecodedCategoryName(searchText);
             optionCollection.set(searchText, {
-                text: `${indents}${decodedCategoryName}`,
+                text: `${indents}${leafName}`,
                 keyForList: searchText,
                 searchText,
-                tooltipText: decodedCategoryName,
+                tooltipText,
                 isDisabled: isChild ? !option.enabled || option.pendingAction === CONST.RED_BRICK_ROAD_PENDING_ACTION.DELETE : isParentOptionDisabled,
                 isSelected: isChild ? !!option.isSelected : !!selectedParentOption,
                 pendingAction: option.pendingAction,
@@ -124,7 +110,7 @@ function getCategoryListSections({
     }
 
     if (numberOfEnabledCategories === 0 && selectedOptions.length > 0) {
-        const data = getCategoryOptionTree(selectedOptionsWithDisabledState, true);
+        const data = getCategoryOptionTree(selectedOptionsWithDisabledState);
         categorySections.push({
             // "Selected" section
             title: '',
@@ -136,14 +122,42 @@ function getCategoryListSections({
     }
 
     if (searchValue) {
+        // Step 1: Combine selected and enabled categories for searching
         const categoriesForSearch = [...selectedOptionsWithDisabledState, ...enabledCategories];
 
-        const searchCategories: Category[] = tokenizedSearch(categoriesForSearch, searchValue, (category) => [category.name]).map((category) => ({
+        // Step 2: Get search results using tokenizedSearch
+        let searchCategories: Category[] = tokenizedSearch(categoriesForSearch, searchValue, (category) => [category.name]).map((category) => ({
+            ...category,
+            // Temporarily store if it was selected
+            wasSelected: selectedOptions.some((selectedOption) => selectedOption.name === category.name),
+        }));
+
+        // Step 3: Deduplicate by name (keep first occurrence, which is likely the selected one if present)
+        const seen = new Set<string>();
+        searchCategories = searchCategories.filter((category) => {
+            if (seen.has(category.name)) {
+                return false;
+            }
+            seen.add(category.name);
+            return true;
+        });
+
+        // Step 4: Re-sort to restore hierarchical grouping
+        // Convert back to Record format expected by sortCategories
+        const categoriesRecord: Record<string, Category> = {};
+        for (const category of searchCategories) {
+            categoriesRecord[category.name] = category;
+        }
+        const searchSortedCategories = sortCategories(categoriesRecord, localeCompare);
+
+        // Step 5: Re-apply the isSelected flag (lost during sortCategories)
+        const finalSearchCategories: Category[] = searchSortedCategories.map((category) => ({
             ...category,
             isSelected: selectedOptions.some((selectedOption) => selectedOption.name === category.name),
         }));
 
-        const data = getCategoryOptionTree(searchCategories, true);
+        // Step 6: Generate the option tree and push the section
+        const data = getCategoryOptionTree(finalSearchCategories);
         categorySections.push({
             // "Search" section
             title: '',
@@ -155,7 +169,7 @@ function getCategoryListSections({
     }
 
     if (selectedOptions.length > 0) {
-        const data = getCategoryOptionTree(selectedOptionsWithDisabledState, true);
+        const data = getCategoryOptionTree(selectedOptionsWithDisabledState);
         categorySections.push({
             // "Selected" section
             title: '',
@@ -168,7 +182,7 @@ function getCategoryListSections({
     const filteredCategories = enabledCategories.filter((category) => !selectedOptionNames.has(category.name));
 
     if (numberOfEnabledCategories < CONST.STANDARD_LIST_ITEM_LIMIT) {
-        const data = getCategoryOptionTree(filteredCategories, false, selectedOptionsWithDisabledState);
+        const data = getCategoryOptionTree(filteredCategories, selectedOptionsWithDisabledState);
         categorySections.push({
             // "All" section when items amount less than the threshold
             title: '',
@@ -192,7 +206,7 @@ function getCategoryListSections({
     if (filteredRecentlyUsedCategories.length > 0) {
         const cutRecentlyUsedCategories = filteredRecentlyUsedCategories.slice(0, maxRecentReportsToShow);
 
-        const data = getCategoryOptionTree(cutRecentlyUsedCategories, true);
+        const data = getCategoryOptionTree(cutRecentlyUsedCategories);
         categorySections.push({
             // "Recent" section
             title: translate('common.recent'),
@@ -201,7 +215,7 @@ function getCategoryListSections({
         });
     }
 
-    const data = getCategoryOptionTree(filteredCategories, false, selectedOptionsWithDisabledState);
+    const data = getCategoryOptionTree(filteredCategories, selectedOptionsWithDisabledState);
     categorySections.push({
         // "All" section when items amount more than the threshold
         title: translate('common.all'),
@@ -239,7 +253,7 @@ function sortCategories(categories: Record<string, Category>, localeCompare: Loc
      * }
      */
     for (const category of sortedCategories) {
-        const path = category.name.split(CONST.PARENT_CHILD_SEPARATOR);
+        const path = processCategoryNameSegments(category.name);
         const existedValue = lodashGet(hierarchy, path, {}) as Hierarchy;
         lodashSet(hierarchy, path, {
             ...existedValue,

src/libs/CategoryUtils.ts

@@ -147,6 +147,49 @@ function getDecodedCategoryName(categoryName: string) {
     return Str.htmlDecode(categoryName);
 }
 
+/**
+ * Splits a category name on the colon separator, removes empty middle segments,
+ * and merges a trailing empty segment into the previous part (preserving trailing colons).
+ *
+ * Examples:
+ *   "Food: Meat" → ["Food", "Meat"]
+ *   "A: B:" → ["A", "B:"]
+ *   "A: B: :" → ["A", "B:"]
+ *   "A: B::" → ["A", "B:"]
+ *   "A: B:::" → ["A", "B:"]
+ *   ":D" → ["D"]
+ *   "Plain" → ["Plain"]
+ */
+function processCategoryNameSegments(categoryName: string): string[] {
+    const parts = categoryName.split(CONST.PARENT_CHILD_SEPARATOR);
+    const result: string[] = [];
+
+    // Keep only parts that contain at least one non‑whitespace character.
+    for (let i = 0; i < parts.length; i++) {
+        const part = parts.at(i);
+        if (part === undefined) {
+            continue;
+        }
+        if (part.trim() !== '') {
+            result.push(part);
+        }
+    }
+
+    // If the original name ends with a colon (allowing trailing spaces), append a colon to the last segment.
+    const endsWithColon = categoryName.trim().endsWith(CONST.PARENT_CHILD_SEPARATOR);
+    if (endsWithColon && result.length > 0) {
+        result[result.length - 1] = result.at(result.length - 1) + CONST.PARENT_CHILD_SEPARATOR;
+    }
+
+    return result;
+}
+
+function getDecodedLeafCategoryName(categoryName: string): string {
+    const segments = processCategoryNameSegments(categoryName);
+    const leaf = segments.at(segments.length - 1) ?? '';
+    return Str.htmlDecode(leaf.trim());
+}
+
 function getAvailableNonPersonalPolicyCategories(policyCategories: OnyxCollection<PolicyCategories>, personalPolicyID: string | undefined) {
     return Object.fromEntries(
         Object.entries(policyCategories ?? {}).filter(([key, categories]) => {
@@ -171,5 +214,7 @@ export {
     isCategoryMissing,
     isCategoryDescriptionRequired,
     getDecodedCategoryName,
+    getDecodedLeafCategoryName,
+    processCategoryNameSegments,
     getAvailableNonPersonalPolicyCategories,
 };