You have the axes set incorrectly so the window won’t cut the opening you want. Look at the way they are set in the screen shot. Again, the hole cutting property only works on one face so it won’t cut through both inside and outside faces.There are extensions that can help, though.
After deleting the inside face:
FWIW, you aren’t using tags/layers correctly. ALL edges and faces should be created as Untagged/Layer 0 and only components and groups get other tags/layers.
It would be helpful if you complete your profile with the SketchUp version and license type. It makes it easier to help you.