# Attachments and records to keep

Which supporting documents to keep, and for how long.

An **attachment** is a document that supports a transaction: a receipt, a bill, an invoice, a contract, or a deposit slip. The IRS calls these **supporting documents**.

## What to keep

The IRS lists these examples:

- **Income**: deposit information, receipt books, invoices, and Forms 1099 such as 1099-NEC, 1099-MISC and 1099-K.
- **Purchases and expenses**: receipts, invoices, credit card receipts and statements, account statements, and proof of payment such as canceled checks or records of electronic transfers.
- **Assets**: purchase and sales invoices, closing statements, and proof of payment.

Proof of payment alone does not show that an expense is a business expense. A receipt or an invoice shows what you bought.

## Electronic copies

The IRS applies the same requirements to electronic records as to paper records. If you want to throw away paper originals, read the electronic storage rules in [IRS Publication 583](https://www.irs.gov/publications/p583) first.

## How long to keep records

Keep records while they can matter for a tax return. For many returns, that is 3 years. It can be longer: for example 6 years if income that you did not report is more than 25% of the gross income on the return, 7 years for a claim for a bad debt or worthless securities, and at least 4 years for employment tax records. Read the full list on the IRS page below.

## In Righto

Attach files to any transaction, bill, or receivable. They stay inside your encrypted business file, and the year-end package can include them. A missing receipt does not stop you from [marking a transaction Done](https://rightobooks.com/help/done-and-reconciled.md). See [Categorize, match, and mark Done](https://rightobooks.com/help/review-transactions.md) and [Year-end package and full export](https://rightobooks.com/help/year-end.md).

## Sources

- [What kind of records should I keep](https://www.irs.gov/businesses/small-businesses-self-employed/what-kind-of-records-should-i-keep) (IRS)
- [How long should I keep records?](https://www.irs.gov/businesses/small-businesses-self-employed/how-long-should-i-keep-records) (IRS)
- [Publication 583, Starting a Business and Keeping Records](https://www.irs.gov/publications/p583) (IRS)