Posted by Julie Signore on August 11, 1998 at 12:50:27:
In Reply to: How long should I keep credit receipts? posted by Thea Wilmarth on August 10, 1998 at 14:26:00:
: How long should you keep credit card receipts?
: Secondly, I reconcile each credit statement with my computerized program, MS Money.
: After I do this, how long should I retain these statements?
GREAT question! I find most people keep *everything* just in case because they do not know the statute of limitations.
Here is some info that may help you I hope:
Maintain all tax records & supporting backup data for a period of 3 yrs. (some people prefer to keep 7 ...you only *need* 3)
Keep *all* tax forms indefinitely (this will be really small -- even if it's 20 yrs worth!)
As far as keeping *statements* -- do they have any tax data on them??? Credit card statements wouldn't be "proof" enough to the IRS -- they want the receipt (staple the deductable recipt to the signed receipt you get when you do a charge)
The key is you only need a recipt *if* it's used in your tax preparation.
Didn't claim the item? -- Toss the receipt!
If it's not a tax deductable item: What I do suggest is keeping the bill/statement/receipt until the next statement comes in to verify your payment was credited properly ...beyond that there is no need to keep it.
With credit card statements ...make sure your payments were properly applied & "credits due" credited ...CC companies make mistakes too! :)
Much Aloha,
Julie Signore -CEO
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