You may not be thinking about your tax return right now, but summer is a
\ngreat time to start planning for next year. Organized records not only make
\npreparing your return easier, but may also remind you of relevant transactions,
\nhelp you prepare a response if you receive an IRS notice, or substantiate items
\non your return if you are selected for an audit.<\/p>\n
Here are a few things you should know about recordkeeping.<\/p>\n
1. In most cases, the IRS does not require you to keep records in any
\nspecial manner. Generally, you should keep any and all documents that may have
\nan impact on your federal tax return. It’s a good idea to have a designated
\nplace for tax documents and receipts.<\/p>\n
2. Individual taxpayers should usually keep the following records supporting
\nitems on their tax returns for at least three years:<\/p>\n
You should normally keep records relating to property until at least three
\nyears after you sell or otherwise dispose of the property. Examples include:<\/p>\n
3. If you are a small business owner, you must keep all your employment tax
\nrecords for at least four years after the tax becomes due or is paid, whichever
\nis later. Examples of important documents business owners should keep Include:<\/p>\n
You may not be thinking about your tax return right now, but summer is a great time to start planning for next year. Organized records not only make preparing your return easier, but may also remind you of relevant transactions, … Continue reading