|
Record Keeping
Your documents might not spark joy, but resist the urge to throw them away! The IRS recommends the following:
- Keep records for 3 years from the date you filed your original return or 2 years from the date you paid the tax, whichever is later.
- Keep records for 7 years if you file a claim for a loss from worthless securities or bad debt deduction.
- Keep records indefinitely if you do not file a return.
- Keep employment tax records for at least 4 years after the date that the tax becomes due or is paid, whichever is later.
When your records are no longer needed for tax purposes, do not discard them until you check to see if you have to keep them longer for other purposes. For example, your insurance company or creditors may require you to keep them longer than the IRS does.
| 
