A: Generally speaking, the following are recommended periods of retention for various documents:

7 Years

Tax Returns (uncomplicated), W-2's, 1099's, Cancelled checks supporting tax deductions, Bank deposit slips, Bank statements, Charitable contribution documentation, Credit card statements, Receipts, diaries, or logs pertaining to tax returns.

Ownership Period + 7 Years

Investment purchase and sales slips, Dividend reinvestment records, Year-end brokerage statements, Mutual fund annual statements, Investment property purchase documents, Home purchase documents, Home improvement receipts and cancelled checks, Loan paperwork.

Permanent

Tax Returns (complicated), Retirement plan annual reports, IRA annual reports, IRA nondeductible contributions (Form 8606), Divorce documents, Estate planning documents.

Tax Tips Small Business

  • Do You Know How Much Your Business Is Worth?

    Tips for placing a value on your business

    There are several reasons why you should know the value of your business. if you are planning to sell your business, the general rule is that you should sell it for fair market value. In many instances the term "fair market value" is somewhat ambiguous. In the simplest sense, fair market value is what a willing buyer would pay a willing seller, with each party knowing all the pertinent facts.

    Read more ...

Small Business Quick Tip

  • Like Kind Exchange

    If you are disposing of property used in your business, you may want to consider a like-kind exchange to defer the taxable gain on the sale.
Thursday, 17th January 2019
EASEAL_L

What is an Enrolled Agent and why should I care?

Click Here to find out

 

NATP Member

Follow us on

TwitterFacebook

Tax Tips Personal

  • IRA Contributions for Military Personnel

    Nontaxable combat pay is considered compensation

    Members of the military serving in Iraq, Afghanistan, and other combat zone localities can now put money into an IRA, even if they received tax-free combat pay. Under the Heroes Earned Retirement Opportunities (HERO) Act,

    Read more ...

Personal Quick Tip

  • Teacher Expenses

    If you are a teacher who spent your own money for classroom supplies, you can take a deduction for up to $250 of those costs.