Taxpayers should take advantage of electronic record keeping. Bank statements and even tax forms (1099, W2) are now distributed electronically. Even if a form is received on paper, it is a good practice to scan the form and save it in electronic format. The IRS will accept electronic records as documenting evidence of expenses and income.
Paper records can be easily lost particularly in cases of disaster or theft. The IRS allows extra time to file tax returns for taxpayers that reside in federally declared disaster areas. However, taxpayers will eventually need access to all their records to complete their tax returns. Keeping electronic records in the "cloud" will ensure they are available when needed.
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