HealthKit iTunes Connect entitlement error

I had enabled health kit capability in Xcode and HealthKit service in Developer center at some point for my app. But then I disabled it right away as I decided to not include it. My app doesn't have any HealthKit related stuff in it, I have disabled the capability and also disabled it in developer center. However, when I try to submit my app in iTunes connect, it gives me error:

Apps that use the entitlements [com.apple.developer.healthkit] must have a privacy policy URL for [English]. If your app doesn’t use these entitlements, remove them from your app and upload a new binary.

When validating the app in Xcode, it still shows me health kit entitlement: com.apple.developer.healthkit

Any idea how I can completely get rid of this entitlement from my app? I have been struggling for over a day now :(

NOTE: this is a new app, it's not available in the app store yet.