As a small business owner, your recordkeeping is of utmost importance. These records show your income, expenses, business transactions, and much more. You can choose whatever recordkeeping system you want if you and the IRS have the necessary information.
As a business owner, you will need to keep track of supporting documents such as:
- Purchases
- Sales
- Payroll
- Sales slips
- Paid bills
- Invoices
- Receipts
- Deposit slips
- Canceled checks
- Travel, transportation, entertainment, and gift expenses
- Assets
Keeping your records well-organized will save you time, effort, and money.
*This information is not intended to substitute for specific individualized tax advice. We suggest you discuss your specific tax issues with a qualified tax professional.
Tip adapted from IRS.gov6
Footnotes and Sources
- IRS.gov, August 8, 2022
