When it comes to the tax law, a lot of people don’t understand what the “statute of limitations” really means. They think it governs the length of time they have to hang on to their tax records.
Wrong.
The “statute of limitations” refers to the window of time when you and the IRS can make changes to your tax returns. The statute of limitations sets the time periods during which the IRS can audit your tax returns.
Since the “statue of limitations period” is not the “keeping records period,” how long do you have to store your tax records in case your friendly IRS agent comes calling? You’ll find out when you read my new article titled Tax Tips: Statute of Limitations for Tax Records.
Three ways our fact-filled article can help you:
- We’ll tell you how long to keep employment tax records. The answer may surprise you. If you don’t have the facts, and you want to stay out of trouble, by all means read the full article.
- You’ll need your records to back up deductions. Assets like your car, computer, and office building are relevant to your tax return during their depreciable lives. This can require that you keep these types of records for many years! You’ll get the whole story and an easy solution when you read the full article.
- We’ll explain “The Five-Drawer Method.” It’s an easy-to-understand system that can dramatically simplify record keeping. If you’re ever audited, you’ll be glad you took the time to read the full article.