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Record Retention Guide Charted
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Accounting Records
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Retention Period
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Accounts payable
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7 years
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Accounts receivable
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7 years
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Audit reports
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Permanent
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Chart of accounts
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Permanent
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Depreciation schedules
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Permanent
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Expense records
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7 years
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Financial statements
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Permanent
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Fixed asset purchases
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Permanent
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General ledger
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Permanent
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Inventory records
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7 years
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Loan payment schedules
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7 years
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Purchase orders (1 copy)
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7 years
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Sales records
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7 years
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Tax returns
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Permanent
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Bank Records
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Retention Period
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Bank reconciliations
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2 years
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Bank statements
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7 years
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Cancelled checks
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7 years
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Electronic payment records
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7 years
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Corporate Records
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Retention Period
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Board minutes
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Permanent
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Bylaws
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Permanent
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Business licenses
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Permanent
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Contracts – major
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Permanent
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Contracts – minor
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Life + 4 years
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Insurance policies
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Life + 3 years
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Leases/Mortgages
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Permanent
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Patents/Trademarks
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Permanent
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Shareholder records
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Permanent
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Stock registers
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Permanent
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Stock transactions
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Permanent
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Employee Records
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Retention Period
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Benefit plans
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Permanent
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(Ex) Employee files
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7 years
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Employment applications
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3 years
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Employment taxes
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7 years
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Payroll records
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7 years
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Profit sharing plans
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Permanent
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Real Property Records
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Retention Period
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Construction records
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Permanent
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Leasehold improvements
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Permanent
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Leased payment records
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Life + 4 years
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Real estate purchases
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Permanent
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Individual Records
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Retention Period
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Tax returns (uncomplicated)
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7 years
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Tax returns (all others)
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Permanent
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W-2’s
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7 years
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1099’s
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7 years
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Cancelled checks supporting tax deductions
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7 years
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Bank deposit slips
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7 years
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Charitable contribution documentation
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7 years
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Credit card statements
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7 years
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Receipts, diaries, logs, etc. pertaining to tax return
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7 years
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Investment purchase & sales slip
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Ownership period + 7 years
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Dividend reinvestment records
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Ownership period + 7 years
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Year-end brokerage statement
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Ownership period + 7 years
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Mutual fund annual statements
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Ownership period + 7 years
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Investment property purchase documents
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Ownership period + 7 years
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Home purchase documents
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Ownership period + 7 years
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Home improvement receipts & cancelled checks
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Ownership period + 7 years
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Retirement plan annual reports
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Permanent
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IRA annual reports
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Permanent
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IRA nondeductible contributions Form 8606
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Permanent
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Insurance policies
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Life of policy + 3 years
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Divorce documents
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Permanent
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Loans
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Term of loan + 7 years
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Estate planning documents
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Permanent
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Tax returns can general be audited for up to three years after filling and up to six years if the IRS suspects underreported income. It is wise to keep tax records for at least seven years after a return is filed. Requirements for records kept electronically are the same as paper records.
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