Tax Expert and Advisor Barry G. Fowler Reviews the IRS Rules on Tax Record Storage
Barry G. Fowler, EA, leading expert in tax resolution issues and CEO of Taxation Solutions tells readers that the basic rules of purging do not apply when it comes to clearing out tax records.
Houston, TX – June 26, 2017 – Barry G. Fowler, CEO of Taxation Solutions, posted a new article on his website entitled “With Tax Records, When In Doubt, Keep It.” Purging tax documents has its very own set of rules and regulations, which can, as Mr. Fowler points, be confusing to taxpayers.
Fowler writes, “You’ve probably heard the expression, “when in doubt, toss it out.” That applies to just about everything except when you’re clearing out tax records!” He continues, “So, when you’re inspired to clear out those tax files, don’t be too hasty about getting rid of them.”
According to Fowler, “Many of my clients tend to be confused about what they need to keep and how long. It’s a good idea to do an annual review of the items you need to keep indefinitely and those that have a shorter shelf life.”
“In this digital age,” reports Fowler, “the IRS accepts scanned documents. However, the burden of proof for an item of income or expense rests with you, the taxpayer.” He elaborates, “You will be responsible for scanning documents, receipts and emails after the year ends for easy access. In addition, if you have migrated to digital storage the method of storage and retrieval must be taken into account.” He adds, “When you are confident in your storage and retrieval method, you could probably keep all records indefinitely. And with cloud storage it is fairly safe to say that the sky is the limit.”
Folwer points out that, “Electronic records will be expected to be as accurate as paper records and you must be able to index, store, preserve, retrieve and reproduce the records in order to produce a hard copy if needed.
The entire article can be read at https://www.taxationsolutions.net/with-tax-records-when-in-doubt-keep-it/
About Barry G. Fowler, EA
Barry G. Fowler founded Taxation Solutions out of a genuine concern for the IRS issues his clients face, many of whom are self-employed, contract employees, or entrepreneurs. For his contributions to his profession and expertise in tax resolution and financial planning, Fowler has been featured as one of America’s Trendsetters on CBS and Yahoo, and as a Premier Expert in Inc. Magazine. He has been instrumental in helping hundreds of people resolve complex tax issues with the IRS.
Fowler is licensed to represent taxpayers before the Internal Revenue Service, and is a longstanding member of several tax industry professional organizations: NAEA, NATP, TSEA, ASTPS.