thank you for sharing your question with the Wefugees Community.
Maybe you can ask them, before taking your application back, if it is possible for them to proceed with your current application using your B1 certificate and without taking your application back.
Anyways, in order to take your application back, you can simply write the naturalization office in German language in one or two sentences that you want to take your application back and send it to them in the post or you can directly give it to them.
For example you can write:
Sehr geehrte Damen und Herren,
hiermit möchte ich meinen Antrag auf Einbürgerung vom ... …. ….… zurückziehen.
Mit freundlichen Grüßen
They usually take an administration fee for their work, which they have invested in your application but this fee is less than the fee they usually take for all the process of your naturalization and it differs in different states of Germany.
Here is an example, in German, of how it is done in the Dachau naturalization office:
After that, you can then make a new application.
I hope my answer was useful for you and I'll be very pleased if you contact me again with further questions. I'm a member of the MBEON-staff and I‘ll be glad to guide you over a longer period of time. Mbeon is an online consultancy for migrants via the mbeon-app, which you can install on your smartphone for free. Download it via App Store or Google Play Store. You'll find me In the mbeon-app under my name „München, Herr Noori“ and get confidential one-to-one advice in a safe virtual room where nobody can wiretap messages. Further information: ***.mbeon.de.