Back to top

Blog

Click here to go back

 

Oct 12 2015
Record Retention Requirements

Posted in general

Dear Client,

In response to many requests of what tax records should be kept and how long, we have prepared the following list for your reference based on Federal Laws.

Income tax returns and supporting documents - Keep at least 4 years and preferable 7 if space is not critical. Once this period has elapsed, the documents can be discarded, but the returns themselves, which do not take much space,

should be retained indefinitely.

Residential property records - All escrow statements (purchase and sale) plus receipts for improvements should be kept for at least 4 years after the property is sold (including refinance papers).

Purchase receipts for stock, bonds, mutual funds - These should also be kept for at least 4 years after the asset is sold: This would include record of dividends, splits and reinvested dividends. "

Depreciation records For any rental real estate or depreciable business property you own, keep records of the property’s cost, date acquired, and schedule of depreciation claimed in previous years. This record should be kept

until 4 years after the property is disposed of.

Retirement plan contributions — Records of non—deductible lRA deposits, employer plan stock purchased, rollovers, and Keogh plan deposits should be kept until 4 years after the plan assets have been withdrawn.

 

 Personal records - Important papers such as estate and gift returns, divorce and property settlement, deeds, title insurance policies, and all trust documents should be kept in a permanent file, or perhaps safe deposit box.

Miscellaneous papers - All other documents to include bank statements, canceled checks, credit card statements, deposits slips, charitable contribution receipts, and medical bills can be discarded after 7 years.

Last Updated by Admin on 2015-10-12 09:58:48 PM

 

 

Add New Comment

 

News

2017 Nationwide Tax Forum Seminars available for CPE Credit

If you did not attend the 2017 Nationwide Tax Forums this year, it's not too late to earn continuing professional education (CPE) credits. There are 17 interactive, self-study courses now available...

NTA Blog: Caring about “Sharing” – The IRS Should Do More for Participants in the Gig Economy

Subscribe to the NTA’s Blog and receive updates on the latest blog posts from National Taxpayer Advocate Nina E. Olson. Additional blogs from the National Taxpayer Advocate can be found ...

NTA Blog: IRS Policy Needs to Reflect the Reality of Retirement for Today’s Taxpayers

Subscribe to the NTA’s Blog and receive updates on the latest blog posts from National Taxpayer Advocate Nina E. Olson. Additional blogs from the National Taxpayer Advocate can be found ...

NTA Blog: Appeals Should Accept Good-Faith Requests to Review Section 6702 Penalty Abatement Cases

Appeals Is Needlessly Turning Away Even Good-Faith Taxpayers Who Seek Administrative Review of Rejected IRC § 6702 Penalty Abatement Requests Subscribe to the NTA’s Blog and rec...

Success Story: TAS Successfully Advocates to Remove IRA Rollover Penalty

Every year the Taxpayer Advocate Service (TAS) helps thousands of people with tax problems. This story is only one of many examples of how TAS helps resolve taxpayer issues. All personal details ar...

All NTA Blog Posts

All NTA Blog Posts ...

NTA Blog: IRS Should Identify Potentially Frivolous Positions in the Letters It Mails to Taxpayers

The IRS Should Specifically Identify Potentially Frivolous Positions in the Letters It Mails to Taxpayers, So As to Give Them a Better Opportunity to Correct the Positions and Comply with the Tax L...

You can sign up for healthcare insurance coverage starting November 1

Are you ready to secure health insurance coverage for 2018? Everyone will have an opportunity to sign-up for health coverage for next year starting on November 1, running through December 15, 2017....

Disaster Relief for Taxpayers Affected by California Wildfires

Taxpayers affected by the wildfires in California that began October 8, 2017 may qualify for tax relief from the Internal Revenue Service. The President declared that a major disaster exists in the...

NTA Blog: Affordable Care Act Estimators - The Taxpayer Advocate Service Provides Self-Help Tools to Assist Taxpayers With Complex Affordable Care Act Requirements

Subscribe to the NTA’s Blog and receive updates on the latest blog posts from National Taxpayer Advocate Nina E. Olson. Additional blogs from the National Taxpayer Advocate can be found ...