We are approaching the New Year and this is a good time to start getting things in order…because it will soon be tax season. “Let us enjoy the holidays”, you must be saying; but it is never too early to start putting things in order for the next year.
One of the most important steps, to be followed by individuals and businesses, is to maintain proper tax records. The IRS offers four steps to safeguard your tax records:
1. Have an electronic backup of all your records – Take a copy of all your important documents save them in CDs, DVDs, etc. which are easy to store.
2. Document all the valuable items available at home or at a business location – Take photographs of all the expensive possessions and keep the photographs in a safe location, outside your home/office.
3. Review your emergency plans every year. Every home and office should have a well thought out emergency escape plan. It should be something every member of the family/staff should be aware of, and it should be reviewed and practiced regularly.
4. Contact the IRS – Trained representatives will be able to help you face disastrous situations. Agencies like us, can help you contact the IRS for the forms 4506, 4506-T and 4506t-EZ, which are required to receive transcripts of past tax records.
Be safe, be prepared, and enjoy the holidays!