Many taxpayers are unsure which tax documents to keep and how long to retain them. Proper recordkeeping protects you during audits, amendments, and financial planning.
IRS Record Retention Guidelines
General guidelines include:
- 3 years for most filed returns
- 6–7 years if income was underreported
- Indefinitely for asset purchase records
Documents You Should Keep
- Filed tax returns
- W-2s and 1099s
- Receipts and expense records
- Bank and credit card statements
- Investment records
Why Keeping Records Matters
Proper documentation helps:
- Support deductions and credits
- Respond to IRS inquiries
- File amended returns accurately
Digital vs Physical Storage
Digital storage is acceptable if records are clear, legible, and secure. Backups are strongly recommended.
Staying Organized Long-Term
Creating a consistent system for storing tax records reduces stress and makes future tax seasons easier.