diff --git a/RELEASE-NOTES.txt b/RELEASE-NOTES.txt
index e823639d18c..b8d93b67904 100644
--- a/RELEASE-NOTES.txt
+++ b/RELEASE-NOTES.txt
@@ -8,6 +8,7 @@
 - [*] Shipping Labels: Made HS tariff number field required in customs form for EU destinations [https://github.com/woocommerce/woocommerce-ios/pull/15946]
 - [*] Order Details > Edit Shipping/Billing Address: Added map-based address lookup support for iOS 17+. [https://github.com/woocommerce/woocommerce-ios/pull/15964]
 - [*] Order Creation: Prevent subscription products to be added to an order [https://github.com/woocommerce/woocommerce-ios/pull/15960]
+- [*] Point of Sale: Remove temporary orders from storage on exiting POS mode [https://github.com/woocommerce/woocommerce-ios/pull/15975]
 - [internal] Replace COTS_DEVICE reader model name with TAP_TO_PAY_DEVICE. [https://github.com/woocommerce/woocommerce-ios/pull/15961]
 
 22.9
diff --git a/WooCommerce/Classes/POS/Controllers/PointOfSaleOrderController.swift b/WooCommerce/Classes/POS/Controllers/PointOfSaleOrderController.swift
index 98031bd8b6c..ca27ab54dee 100644
--- a/WooCommerce/Classes/POS/Controllers/PointOfSaleOrderController.swift
+++ b/WooCommerce/Classes/POS/Controllers/PointOfSaleOrderController.swift
@@ -35,7 +35,7 @@ protocol PointOfSaleOrderControllerProtocol {
     @discardableResult
     func syncOrder(for cart: Cart, retryHandler: @escaping () async -> Void) async -> Result<SyncOrderState, Error>
     func sendReceipt(recipientEmail: String) async throws
-    func clearOrder()
+    func clearOrder() async
     func collectCashPayment(changeDueAmount: String?) async throws
 }
 
@@ -143,11 +143,25 @@ protocol PointOfSaleOrderControllerProtocol {
         }
     }
 
-    func clearOrder() {
+    func clearOrder() async {
+        await clearAutoDraftIfNeeded(for: order)
         order = nil
         orderState = .idle
     }
 
+    private func clearAutoDraftIfNeeded(for order: Order?) async {
+        guard let order, order.status == .autoDraft else { return }
+
+        await withCheckedContinuation { continuation in
+            Task { @MainActor [weak self] in
+                let action = OrderAction.deleteOrder(siteID: order.siteID, order: order, deletePermanently: true) { _ in
+                    continuation.resume()
+                }
+                self?.stores.dispatch(action)
+            }
+        }
+    }
+
     private func celebrate() {
         celebration.celebrate()
     }
diff --git a/WooCommerce/Classes/POS/Models/PointOfSaleAggregateModel.swift b/WooCommerce/Classes/POS/Models/PointOfSaleAggregateModel.swift
index e40ffa2a39f..1b144cdf8bb 100644
--- a/WooCommerce/Classes/POS/Models/PointOfSaleAggregateModel.swift
+++ b/WooCommerce/Classes/POS/Models/PointOfSaleAggregateModel.swift
@@ -173,7 +173,9 @@ extension PointOfSaleAggregateModel {
 
     func startNewCart() {
         removeAllItemsFromCart()
-        orderController.clearOrder()
+        Task {
+            await orderController.clearOrder()
+        }
         setStateForEditing()
         viewStateCoordinator.reset()
     }
@@ -621,7 +623,9 @@ extension PointOfSaleAggregateModel {
 
         // Before exiting Point of Sale, we warn the merchant about losing their in-progress order.
         // We need to clear it down as any accidental retention can cause issues especially when reconnecting card readers.
-        orderController.clearOrder()
+        Task {
+            await orderController.clearOrder()
+        }
 
         // Ideally, we could rely on the POS being deallocated to cancel all these. Since we have memory leak issues,
         // cancelling them explicitly helps reduce the risk of user-visible bugs while we work on the memory leaks.
diff --git a/WooCommerce/Classes/POS/Utils/PointOfSalePreviewOrderController.swift b/WooCommerce/Classes/POS/Utils/PointOfSalePreviewOrderController.swift
index 8945ddf0d33..7ba75466005 100644
--- a/WooCommerce/Classes/POS/Utils/PointOfSalePreviewOrderController.swift
+++ b/WooCommerce/Classes/POS/Utils/PointOfSalePreviewOrderController.swift
@@ -18,7 +18,7 @@ class PointOfSalePreviewOrderController: PointOfSaleOrderControllerProtocol {
 
     func sendReceipt(recipientEmail: String) async throws { }
 
-    func clearOrder() { }
+    func clearOrder() async { }
 
     func collectCashPayment(changeDueAmount: String?) async throws {}
 }
diff --git a/WooCommerce/WooCommerceTests/POS/Controllers/PointOfSaleOrderControllerTests.swift b/WooCommerce/WooCommerceTests/POS/Controllers/PointOfSaleOrderControllerTests.swift
index b3a0baae6ea..62658f57d1e 100644
--- a/WooCommerce/WooCommerceTests/POS/Controllers/PointOfSaleOrderControllerTests.swift
+++ b/WooCommerce/WooCommerceTests/POS/Controllers/PointOfSaleOrderControllerTests.swift
@@ -572,6 +572,91 @@ struct PointOfSaleOrderControllerTests {
         }
     }
 
+    @MainActor
+    @available(iOS 17.0, *)
+    @Test func clearOrder_when_no_order_then_does_not_dispatch_delete_action() async throws {
+        // Given
+        let mockStores = MockStoresManager(sessionManager: .testingInstance)
+        let sut = PointOfSaleOrderController(orderService: mockOrderService,
+                                             receiptService: mockReceiptService,
+                                             stores: mockStores)
+
+        var deleteActionWasDispatched = false
+        mockStores.whenReceivingAction(ofType: OrderAction.self) { action in
+            if case .deleteOrder = action {
+                deleteActionWasDispatched = true
+            }
+        }
+
+        // When
+        await sut.clearOrder()
+
+        // Then
+        #expect(deleteActionWasDispatched == false)
+        #expect(sut.orderState == .idle)
+    }
+
+    @MainActor
+    @available(iOS 17.0, *)
+    @Test func clearOrder_when_autodraft_order_then_dispatches_delete_action() async throws {
+        // Given
+        let mockStores = MockStoresManager(sessionManager: .testingInstance)
+        let sut = PointOfSaleOrderController(orderService: mockOrderService,
+                                             receiptService: mockReceiptService,
+                                             stores: mockStores)
+
+        let autoDraftOrder = Order.fake().copy(siteID: 123, status: .autoDraft)
+        mockOrderService.orderToReturn = autoDraftOrder
+        await sut.syncOrder(for: .init(purchasableItems: [makeItem()]), retryHandler: {})
+
+        var deleteActionWasDispatched = false
+        var dispatchedOrder: Order?
+        mockStores.whenReceivingAction(ofType: OrderAction.self) { action in
+            if case let .deleteOrder(_, order, deletePermanently, _) = action {
+                deleteActionWasDispatched = true
+                dispatchedOrder = order
+                #expect(deletePermanently == true)
+            }
+        }
+
+        // When
+        await sut.clearOrder()
+
+        // Then
+        #expect(deleteActionWasDispatched == true)
+        #expect(dispatchedOrder?.orderID == autoDraftOrder.orderID)
+        #expect(dispatchedOrder?.status == .autoDraft)
+        #expect(sut.orderState == .idle)
+    }
+
+    @MainActor
+    @available(iOS 17.0, *)
+    @Test func clearOrder_when_completed_order_then_does_not_dispatch_delete_action() async throws {
+        // Given
+        let mockStores = MockStoresManager(sessionManager: .testingInstance)
+        let sut = PointOfSaleOrderController(orderService: mockOrderService,
+                                             receiptService: mockReceiptService,
+                                             stores: mockStores)
+
+        let completedOrder = Order.fake().copy(status: .completed)
+        mockOrderService.orderToReturn = completedOrder
+        await sut.syncOrder(for: .init(purchasableItems: [makeItem()]), retryHandler: {})
+
+        var deleteActionWasDispatched = false
+        mockStores.whenReceivingAction(ofType: OrderAction.self) { action in
+            if case .deleteOrder = action {
+                deleteActionWasDispatched = true
+            }
+        }
+
+        // When
+        await sut.clearOrder()
+
+        // Then
+        #expect(deleteActionWasDispatched == false)
+        #expect(sut.orderState == .idle)
+    }
+
     @MainActor
     struct AnalyticsTests {
         private let analytics: WooAnalytics
diff --git a/WooCommerce/WooCommerceTests/POS/Mocks/MockPointOfSaleOrderController.swift b/WooCommerce/WooCommerceTests/POS/Mocks/MockPointOfSaleOrderController.swift
index 575935eb212..133c0e7ca8e 100644
--- a/WooCommerce/WooCommerceTests/POS/Mocks/MockPointOfSaleOrderController.swift
+++ b/WooCommerce/WooCommerceTests/POS/Mocks/MockPointOfSaleOrderController.swift
@@ -37,7 +37,7 @@ final class MockPointOfSaleOrderController: PointOfSaleOrderControllerProtocol {
     }
 
     var clearOrderWasCalled: Bool = false
-    func clearOrder() {
+    func clearOrder() async {
         clearOrderWasCalled = true
     }