diff --git a/hledger/Hledger/Cli/CompoundBalanceCommand.hs b/hledger/Hledger/Cli/CompoundBalanceCommand.hs
index 3130884f9..c0e7f3e98 100644
--- a/hledger/Hledger/Cli/CompoundBalanceCommand.hs
+++ b/hledger/Hledger/Cli/CompoundBalanceCommand.hs
@@ -14,7 +14,7 @@ module Hledger.Cli.CompoundBalanceCommand (
 ) where
 
 import Data.List (foldl')
-import Data.Maybe (fromMaybe)
+import Data.Maybe (fromMaybe,catMaybes)
 import qualified Data.Text as TS
 import qualified Data.Text.Lazy as TL
 import System.Console.CmdArgs.Explicit as C
@@ -218,13 +218,19 @@ compoundBalanceSubreport ropts userq j subreportqfn subreportnormalsign = r'
     -- run the report
     q = And [subreportqfn j, userq]
     r@(MultiBalanceReport (dates, rows, totals)) = multiBalanceReport ropts' q j
-    -- if user didn't specify --empty, now remove the all-zero rows
+    -- if user didn't specify --empty, now remove the all-zero rows, unless they have non-zero subaccounts
+    -- in this report
     r' | empty_ ropts = r
        | otherwise    = MultiBalanceReport (dates, rows', totals) 
           where
+            nonzeroaccounts =
+              dbg1 "nonzeroaccounts" $
+              catMaybes $ map (\(act,_,_,amts,_,_) ->
+                            if not (all isZeroMixedAmount amts) then Just act else Nothing) rows 
             rows' = filter (not . emptyRow) rows
               where
-                emptyRow (_,_,_,amts,_,_) = all isZeroMixedAmount amts
+                emptyRow (act,_,_,amts,_,_) =
+                  all isZeroMixedAmount amts && all (not . (act `isAccountNamePrefixOf`)) nonzeroaccounts
 
 -- | Render a compound balance report as plain text suitable for console output.
 {- Eg:
diff --git a/tests/balancesheet/balancesheet.test b/tests/balancesheet/balancesheet.test
index ec3d6332b..1bf7536bd 100644
--- a/tests/balancesheet/balancesheet.test
+++ b/tests/balancesheet/balancesheet.test
@@ -241,3 +241,44 @@ Balance Sheet 2016/01/01
  Net:        ║          1 
 >>>2
 >>>= 0
+
+# 10. Check that accounts brought to zero by subaccount balances
+# are not erased from balancesheet
+hledger -f - balancesheet
+<<<
+2018-10-01
+   income:whatever
+   assets:bank      $100
+   assets:bank:subaccount  $10
+   assets:bank:this subaccount should disappear  $10
+
+2018-10-02
+   assets:bank:this subaccount should disappear  -$10
+   assets:bank
+
+2018-10-03
+   assets:this account should not disappear:subaccount   -$10
+   assets:this account should not disappear
+>>>
+Balance Sheet 2018/10/01-2018/10/03
+
+                                     || 2018/10/03 
+=====================================++============
+ Assets                              ||            
+-------------------------------------++------------
+ assets                              ||       $120 
+   bank                              ||       $120 
+     subaccount                      ||        $10 
+   this account should not disappear ||          0 
+     subaccount                      ||       $-10 
+-------------------------------------++------------
+                                     ||       $120 
+=====================================++============
+ Liabilities                         ||            
+-------------------------------------++------------
+-------------------------------------++------------
+                                     ||            
+=====================================++============
+ Net:                                ||       $120 
+>>>2
+>>>= 0