As we all know, it’s tax time and the deadline is approaching fast. A lot of people look at taxes as a once a year thing, which it is as far as filing your return goes, but “tax time” is a year long thing. About this time of the year everyone is getting ready to file their taxes and most are scrambling simply because they aren’t organized. Right now, theres’ a lot of time being wasted looking for receipts, statements and other documents so that tax returns can be filed. This is true for personal as well as business tax filers.
Are you scrambling to get it together to file your taxes? Maybe you’re scrambling to get W2s or 1099s out to those who worked for you this past year. The beginning of the year scramble is just not necessary. This week I’ll share some tips for getting your tax documents organized.
- Keep your tax returns and all of the paperwork that supports them for 7 years (some like to keep them for a life time)
- Keep your credit card receipts to compare to your statements, then shred them. Keep statements for a few months, but for 7 years if charges are related to your tax returns
- If you’re a home owner, keep all records of permanent improvements that you make to your home
More in the next post…