Looking to clear out some room by getting rid of old tax returns? Well here is a guide of when you can finally get rid of them courtesy of the good ole IRS. I’d recommend clicking the link and reading all about it but here is a handy snippet:
Period of Limitations that apply to income tax returns
- Keep records for 3 years if situations (4), (5), and (6) below do not apply to you.
- Keep records for 3 years from the date you filed your original return or 2 years from the date you paid the tax, whichever is later, if you file a claim for credit or refund after you file your return.
- Keep records for 7 years if you file a claim for a loss from worthless securities or bad debt deduction.
- Keep records for 6 years if you do not report income that you should report, and it is more than 25% of the gross income shown on your return.
- Keep records indefinitely if you do not file a return.
- Keep records indefinitely if you file a fraudulent return.
- Keep employment tax records for at least 4 years after the date that the tax becomes due or is paid, whichever is later.
BE SURE TO SHRED THEM INSTEAD OF JUST THROWING THEM IN THE TRASH. You don’t want someone to have access to your personal data.