Purchases, sales, payroll, and other transactions you have in your business will generate supporting documents. Supporting documents include sales slips, paid bills, invoices, receipts, deposit slips, and canceled checks. These documents contain the information you need to record in your books.
It is important to keep these documents because they support the entries in your books and on your tax return. Keep them in an orderly fashion and in a safe place. For instance, organize them by year and type of income or expense.
Gross Receipts
Purchases
Expenses
Assets
What If I Don't Have a Canceled Check?
Information courtesy of the Internal Revenue Service.
Kinds of Records to Keep:
Supporting Documents
Recording Business Transactions
Bookkeeping System
