How long do you keep file (by Fishsticks913 [IA]) Jan 14, 2021 3:17 PM|
How long do you keep file (by WMH [NC]) Jan 14, 2021 4:07 PM
How long do you keep file (by myob [GA]) Jan 14, 2021 4:15 PM
How long do you keep file (by S i d [MO]) Jan 14, 2021 4:19 PM
How long do you keep file (by Tonia [RI]) Jan 14, 2021 4:40 PM
How long do you keep file (by Ken [NY]) Jan 14, 2021 5:21 PM
How long do you keep file (by Robert J [CA]) Jan 14, 2021 11:34 PM
How long do you keep file (by myob [GA]) Jan 16, 2021 6:42 AM
How long do you keep file (by nhsailmaker [NH]) Jan 16, 2021 9:17 AM
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How long do you keep file (by Fishsticks913 [IA]) Posted on: Jan 14, 2021 3:17 PM
Apparently along with month end and year end stuff I have a huge desire to clean out files :)
How long do you keep a tenants file on hand? I am thinking of scanning everything into Quickbooks attached to their deposit refund check and then pitching everything.
(Side note.... per the IRS, scanned items into QB are legal in case we were to ever get audited.)
How long do you keep file (by WMH [NC]) Posted on: Jan 14, 2021 4:07 PM
Just be sure to keep multiple backups. An unplanned and interrupted Windows update wiped my hard drive once. A dropped and smashed computer was another problem.
So now I have online backup and two external hard drives that get backed up to every night. --50.82.xxx.xxx
How long do you keep file (by myob [GA]) Posted on: Jan 14, 2021 4:15 PM
I rotate my boxes every 7 years. Keep the collections-- well till paid off.
So when I place 2020 in the storage I take 2013 out and shred it. When i first did this-- I had never discarded anything. We had a truck take 1500 pounds tot he local shredder and waited as they chopped it up. (don't wait that long) --99.103.xxx.xxx
How long do you keep file (by S i d [MO]) Posted on: Jan 14, 2021 4:19 PM
Until I'm sick of storing it or run out of room. I've got files back to 2005, the first year we got into the biz. Probably overkill. I should go back and shred some of that one of these days. --107.216.xxx.xxx
How long do you keep file (by Tonia [RI]) Posted on: Jan 14, 2021 4:40 PM
I do not destroy tenant files. I keep them as permanent records. --70.168.x.xxx
How long do you keep file (by Ken [NY]) Posted on: Jan 14, 2021 5:21 PM
I keep them forever, i was sued for lead once for huge dollars but i found thensurance policy and the insurance company ended up paying a lot of money, i was told the kids had 10 years after reaching the age of 18 to sue me and since they were little kids that was a long time.I have files in totes stored in the attic of a storage garage i hope i never have to go through them again but never know --72.231.xxx.xxx
How long do you keep file (by Robert J [CA]) Posted on: Jan 14, 2021 11:34 PM
Some time ago congress passed a farm bill that gave the IRS the power to audit someone going back more than 20 years. A tenant that I evicted lied to the IRS saying I pocket my garage money and don't report it. When the IRS investigated that I had over a hundred garages, they thought they had a gold mine coming in.
I got summoned to an IRS audit. They asked for all of my real estate records going back 20 years. I told them I have over 200 boxes of records and would not participate in a fishing expedition.
At a meeting I would not budge. Either identify the issue, building or tenant. So they gave me a building. I returned another day with my files and tax returns.
I showed them that:
My separate garages rents get reported as Rental Royalty and the apartment rents get reported as Rent!. I also had every receipt listing each garage rent paid by month, year and tenant. Any payment made by check, I kept copy of that check.
I was able to prove going back 20 years that I always reported all sources of income. After the IRS saw this, they had no reason to investigate any further.
What I didn't mention, the IRS assessed a $75,000 fine if I couldn't prove I paid income taxes on the garages.
So what I'm saying, you keep tenant and property records even 20 years after you sell the property. --47.155.xx.xxx
How long do you keep file (by myob [GA]) Posted on: Jan 16, 2021 6:42 AM
Robert no way.
Thing to do in your case-- fire your accountant.
What people lose site of when dealing with the IRS is these people work 9 to 5. Bust their chos-- they bust yours. At one point in our investing we were audited every year so we know about audits.
Only one time did we represent ourselves and that was to learn early on what it was about. Our accountant, if there's questions, is now our buffer. She handles all correspondence. ALL.
Robert I've read and enjoyed many of your stories but sometimes I wonder if you don't bring some of this on yourself? --99.103.xxx.xxx
How long do you keep file (by nhsailmaker [NH]) Posted on: Jan 16, 2021 9:17 AM
Tenant Files - 3 years - and ........in decades in the business NEVER EVER had to refer to them
Business file storage is directed by what my Accountant dictates
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