Welcome to Microsoft Q&A and thank you for posting your question here!
I understand that you would like to delete the static IP Address associated with your VM and start using dynamic IP Address to reduce the cost.
Try to review what @deherman-MSFT have stated earlier. However, if you do not care about your SKU status, here is a simple workaround.
You can use Azure Portal, Azure CLI or PowerShell to achieve this, from Azure Portal:
- Sign in to the Azure portal.
- Browse to, or search for the virtual machine that you want to disassociate the public IP address from and then select it.
- In the VM page, select Overview, and then select the public IP address.
- In the public IP address page, select Overview, and then select Delete.
- In Delete public IP address, select Yes.
NOTICE AND CRITICAL WARNING:
Remove the address from any applicable IP configurations (see Delete section) to change assignment for a public IP from static to dynamic. When you change the assignment method from static to dynamic, you lose the IP address that was assigned to the public IP resource. While the Azure public DNS servers maintain a mapping between static or dynamic addresses and any DNS name label (if you defined one), a dynamic IP address can change when the virtual machine is started after being in the stopped (deallocated) state. To prevent the address from changing, assign a static IP address.
You can read more on Create, change, or delete an Azure public IP address and how to Dissociate a public IP address from an Azure VM instead of deletion.
Hope this is helpful.
Kindly let me know if the above helps or you need further assistance or explanation on this issue.
Best Regards,
Sina