Module 4: Tax Recordkeeping and Audit Preparedness

What Business Records to Keep and for How Long

Preview · ~5 min read

The IRS generally has 3 years to audit a tax return from the filing date (6 years if underreporting is suspected). Keep all tax returns and supporting documents for at least 7 years: income records (invoices, bank statements, PayPal records), expense records (receipts, credit card statements, vendor invoices), payroll records (W-2s, 941s, time records), and asset records (depreciation schedules, purchase receipts, sale documents).

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