2007-09-29 07:25:39 · 3 answers · asked by Mickey O 1 in Business & Finance ➔ Taxes ➔ United States
Save receipts for any expense that's deductible.
2007-09-30 15:40:32 · answer #1 · answered by Judy 7 · 0⤊ 0⤋
Yes, you must keep all your records to prove your income and expenses. And how long you should keep it:
For assessment of tax you owe, this generally is 3 years from the date you filed the return. Returns filed before the due date are treated as filed on the due date.
If you did not report income that you should have reported on your return, and it is more than 25% of the income shown on the return, the period of limitations does not run out until 6 years after you filed the return. If a return is false or fraudulent with intent to evade tax, or if no return is filed, an action can generally be brought at any time.
You may need to keep records relating to the basis of property longer than the period of limitations. Keep those records as long as they are important in figuring the basis of the original or replacement property. Generally, this means for as long as you own the property and, after you dispose of it, for the period of limitations that applies to you.
2007-09-29 07:45:26 · answer #2 · answered by MukatA 6 · 1⤊ 0⤋
Yes. the receipts will be the proof it takes to make the deduction legit. assuming you doing the line deductions and not a 1040 ez
2007-09-29 07:33:36 · answer #3 · answered by npwinder 3 · 1⤊ 0⤋