Tax records storage is quite complicated if you keep all records on paper copies. A lot of time, space and efforts are spent on it. Everyone who wants to not have problems with IRS does know that it is better to have all records prepared for the unexpected check. Sticking to [url="https://www.irs.gov/businesses/small-businesses-self-employed/how-long-should-i-keep-records"]general IRS rule[/url], mentioned on their official website, is quite a tricky thing. Saying the term is thirty-six months, IRS has the right to ask for records for up to ten years. It is easier for them to ask for your copies, as searching for the digital data in their storage is quite long-term and complicated. They say, that it is necessary to store all copies, that prove your regular or miscellaneous income. The problem becomes even more complicated, as you can not rely on electronic or USPS delivery. Thus, to be ready for any unexpected situation, just keep your documents for a long time. How long? Let us figure it out together.

Different Terms for Different Purposes
IRS official website says that the period of limitations of documents depends on limitation, applicable to every particular template and on the action, expense or event the document covers.

[url="https://www.thestreet.com/personal-finance/taxes/how-long-keep-your-tax-records-14822263"]TheStreet says[/url], that if you will never throw out 1040, you will have no problems. Receipts or W-2 https://fillable-form-w2.pdffiller.com/ forms should be kept for seven years. All over the Internet different amounts of time are given. Those who kept copies of templates for three years only may face problems, as

Every template has its own storage period:

1. Federal tax returns should be kept either in paper or in digital format at least three and up to seven years. These are 1040 forms, 1099-MiSC and other templates of 1099 `https://1099-misc-form.pdffiller.com/` series, 8606, etc.
2. Bank statements and employee paychecks have the shorter term for keeping, in particular, twenty-four months. They are needed to keep tracking of all income and expenses, made during the year.
3. Investment forms and IRA documents are required to be kept by you seven years and more.
4. House purchase/inheritance and ownership documents are kept until you sell a house or transfer the ownership rights to the other individual. 5. In fact, keep them as long as you own the property.
6. Tax return templates and proofs of income for non-tax purposes. Any tax information may be needed not only for tax purposes. For example, you may need income information for getting benefits or deductions, loan a house or get health or life insurance.

Cases when You Need to Keep Tax Templates Longer

Generally, there is a number of situations when you have to store your documents for five years or more:
1. The loses from earlier returns, that carried forward, then you need to have all records from the beginning of loses for five years until you make a final claim.
2. The depreciable assets documents and capital asset cost base for investment property or shares are needed until you decide to get rid of an asset. The reason is that you will need to accurately count all gains and loses, connected with it.
3. Those who had a dispute with ATO should keep all records, connected with it for five years and more after the date of a dispute resolution.
4. The employer should keep records of wages, paid to employees at least for five years.

Do not delete your electronic documents and records, as you never know when you will need them. The most preferable way of storage is a digital one, for example in the device’s internal memory, cloud or flash drive. Whatever variant you select, remember that it is better to have all documents in two places, to have access to them in a case of an unexpected situation. To know more, watch the following video.