Tax record keeping:

One of the common question taxpayer asked is what record I should keep? How long should I keep them?

Australia’s tax system is based on self-assessment. This means you’re responsible for the information included in your tax return, like your income and deductions, even if you use a tax agent.

Keeping accurate and organised records during the year can help make lodging your tax return quicker and easier. Good records help you and your tax agent to:
• prepare your tax return
• provide evidence of your income and expenses
• claim deductions.

Tips for keeping good tax records
• keep records from the start of the financial year, so you don’t forget any income or
deductions
• keep receipts for all the deductions you want to include on your tax return, like work-related expenses, donations, or gifts
• store your records in a safe place
• Take photos of your invoices or receipts

Important: You need to keep your tax records for at least five years. The ATO may ask you to show these at any time.