Blog Archive
June 2015

Can I Throw Away This Receipt Yet?

One question our clients frequently us is just how long should I keep my receipts in case of an IRS audit? They’ve got file cabinets, drawers, and folders completely full of old receipts, bank statements, and invoices, and they’re running out of space. The short answer is to hold on to documents that are either paper or electronic for at least four years. However, there are a few important exceptions to this rule, and missing the proper documentation can leave you at the mercy of an IRS agent so read on.

The Statute of Limitations

A general rule of thumb with tax documents is to hold on to them for four years. The statute of limitations for tax purposes is a limit on the number of years the IRS has to audit your tax return. After that period you can relax and rest assured that you won’t get a notice in the mail or have an unfriendly auditor knocking on your office door...