You should generally keep tax returns and records for at least three years from the filing date, as that's the typical IRS audit period, but longer periods (6-7 years or even indefinitely) apply for specific situations like substantial income underreporting, bad debt/worthless securities, or fraudulent returns; for property, keep records until the period expires for the year you sell it.
The IRS generally requires you to keep tax records for three years from the date you filed your return, but this extends to six years if you underreported income by 25% or more, and indefinitely for fraudulent returns or if you don't file at all; specific situations, like claiming a loss from worthless securities, require records for seven years, while employment tax records should be kept for four years.
You can generally destroy tax records for years older than three years from the filing date, but keep them longer (up to 7 years) if you claimed a bad debt/worthless securities deduction or for employment tax records (4 years); keep indefinitely if fraud is suspected. The six-year rule applies if you underreported income by more than 25%. Always keep your actual tax returns (Form 1040) and supporting documents (W-2s, 1099s, receipts) for at least three years, but potentially much longer depending on your situation, especially for property records and retirement info.
Generally, the IRS can include returns filed within the last three years in an audit. If we identify a substantial error, we may add additional years. We usually don't go back more than the last six years.
Yes, the IRS can often collect after 10 years because the standard 10-year Collection Statute Expiration Date (CSED) is frequently suspended or extended by events like installment agreements, bankruptcy, collection due process hearings, or the IRS obtaining a court judgment, meaning the deadline can get pushed back significantly, sometimes well beyond 10 years.
You need to keep records related to your personal or business tax returns. The statute of limitations to examine your return and mail a Notice of Proposed Assessment (NPA) adjusting your return is usually 4 years from the due date of the return, or the date the return is filed.
Keep Forever
Even if they're old statements, they should be shredded. Your name, address, phone number, and bank account information are in those statements, along with your habits, purchases, and banking history. Even if the account is closed, shred it anyway.
Keep One Month
- Credit card statements can be discarded once you review your statement unless there are tax-related expenses on them. - Utility bills should be saved until the following month's bill arrives showing that your prior payment was received.
The reason is so that you can prove to the IRS that you actually filed if there's ever a question about it. Even if you don't keep the returns indefinitely, you should hang onto them for at least six years after they are due or filed, whichever is later.
In general, the statute of limitations is three years after you file your return. So you can generally get rid of most records related to tax returns for 2019 and earlier years. (If you filed an extension for your 2019 return, hold on to your records until at least three years from when you filed the extended return.)
Keep records on assets such as stocks, bonds, and your home until the statute of limitations expires for the tax year in which you sell them. Dispose of old tax documents securely by shredding them or using a shredding service.
Unreported income
The IRS receives copies of your W-2s and 1099s, and their systems automatically compare this data to the amounts you report on your tax return. A discrepancy, such as a 1099 that isn't reported on your return, could trigger further review.
Documents that define your personal and financial life—like your birth certificate, marriage license and tax returns—should be kept forever. Hold on to records that support information on your tax returns for seven years. Digitizing and shredding your paper documents can cut the risk of fraud and identity theft.
9 Paper Documents You Should Keep Forever in Their Original Form
The 7 year rule
No tax is due on any gifts you give if you live for 7 years after giving them - unless the gift is part of a trust. This is known as the 7 year rule.
4 Types of Documents to Shred
Keep Forever
Taxes aren't determined by age, so you will never age out of paying taxes. People who are 65 or older at the end of 2025 have to file a return for that tax year (which is due in 2026) if their gross income is $16,550 or higher. If you're married filing jointly and both 65 or older, that amount is $32,300.
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.
More In File
The IRS generally has 10 years – from the date your tax was assessed – to collect the tax and any associated penalties and interest from you.
Quick Answer: The IRS can go back indefinitely if you've never filed a return. While they generally require the last six years to be filed to get back into compliance, there's no statute of limitations on unfiled tax returns. This means the IRS can pursue you for older years at any time.
While the standard IRS audit window is three years from the date the tax return was filed, some exceptions allow the IRS to extend this period.