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How do you keep bookkeeping records of transactions?


floridaflatlander

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If a vendor has receipts for monthly hosting from the last several years and you get audited by Mr. IRS, how do you prove that you spent money with that vendor?

In the old days I would provide a hard copy for each and every expense. Now everything is on my hosting providers website and if they wanted a hard copy I'd have to wade through and print each receipt for the last several years.

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If a vendor has receipts for monthly hosting from the last several years and you get audited by Mr. IRS, how do you prove that you spent money with that vendor?[/size]

In the old days I would provide a hard copy for each and every expense. Now everything is on my hosting providers website and if they wanted a hard copy I'd have to wade through and print each receipt for the last several years.[/size]

Then do that? :shrug:

 

I have a filing cabinet with hard copies of most things, and I can print out the receipt of just about anything since I purchase 99% of what I use for work online, and have an email record that lasts years.

Edited by KevinM1
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If a vendor has receipts for monthly hosting from the last several years and you get audited by Mr. IRS, how do you prove that you spent money with that vendor?

Using their receipts. That they made available to you, which you hopefully copied for yourself because an auditor won't accept an excuse of "but I can't access my receipt online anymore".

 

In the old days I would provide a hard copy for each and every expense. Now everything is on my hosting providers website and if they wanted a hard copy I'd have to wade through and print each receipt for the last several years.

Well yeah, if someone wanted hard copies of stuff which only happened digitally, somebody would have to do a lot of printing. Obviously.

 

In general the IRS accepts electronic receipts. See procedure 97-22 (starts on page 9) for the legal details.

 

 

Disclaimer: as with all legal advice given freely on the internet, you should take anything said with a grain of salt and contact a lawyer if it's that important.

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