Managing Tax Records

The IRS posted five tips on keeping good tax records, including: (1) the use of a three-year rule for keeping most records, (2) certain records that should be kept longer (e.g., settlement statements, stock transactions, IRA and business and rental property transactions), (3) general advice on keeping documents that impact the federal tax return, and (4) the kinds ofrecords that should be kept (e.g.,r receipts, invoices, mileage logs). IRS Pub. 552 (Recordkeeping for Individuals) contains additional information what kinds of records to keep. IRS Tax Tip 2011-71.