Saving Your Receipts Saves You!
Did you know that by law, individuals and entrepreneurs are required to keep their receipts and other business records for a period of 7 years? Beyond complying with tax rules, there are many benefits you can receive from saving your receipts!
Save Time
Is it in my wallet? Did I leave it in the car? Maybe I threw it away by accident! When it comes to finding receipts, these are some of the questions we typically ask ourselves. Not to mention the considerable amount of time we spend looking for invoices and documents needed by our bookkeeper or accountant. However the solution to solve this problem could literally be in your hands; if you’re reading this article from your smartphone! At Tact, we setup and provide our clients with mobile apps like Dext to easily capture and share receipts using their smartphones.
Save Money
Each year individuals and entrepreneurs are required to file their income tax returns. When completing this task, individuals are able to declare and attach proof of tax deductible expenses that they incurred during the year. Some examples of tax deductible expenses include study costs, charitable donations and interest paid on mortgages. By declaring these tax deductible expenses you could significantly lower your tax bill and save money. In some circumstances you may even be entitled to tax refund. So saving your receipts could really end up saving you!
Save Space
I have been in many client offices facing a mountain of paperwork! As an accountant, this is just another day on the job. However for my clients, I can always sense a feeling of, “How did we let it get this bad?!” The mountain of paperwork is the result of physical files and documents being retained over a period of years. However, the truth is that for the majority of these files, retaining the electronic version is just as valid as the physical copy. Increasingly many individuals and entrepreneurs are freeing up space and saving face, especially with their accountants, by deciding to go paperless.
