What to Keep for Tax Records and How Long?

Have you ever wondered how long you should keep your tax records for, after all, the IRS can come knocking on your door at any moment?

That was a little bit of a trick question, only part of that line was true. The only true part was that you may have a nice neighbor who works for the IRS that may show up on your door step with some homemade banana bread at any point, but with regards to your tax return, that unlimited time frame is not the case. There is a time limit that the IRS can audit your personal tax return.

The general rule of thumb is that you need to save your tax records for at least three years after that tax return has been filed. That is not to say that the IRS cannot go back even further. If they audit a particular year and find any type of fraud, they can go back seven years.

Now that you know how long you should keep your tax records, the next question is what you should keep? Please visit our website to get the answer to that question, www.steveveseycpa.com/blog, and as always, please consult a tax advisor on all of the above information.