The end of winter is in sight and with spring on its way you may be thinking of a spring clean soon! But what should you keep and what can you throw away?
Savings, investments and pensions
You should keep all:
You should keep details of:
You should keep:
A penalty of up to £3,000 may be charged for each failure to keep or to preserve adequate records in support of a tax return.
Where record keeping failures come to light during the course of HMRC enquiries, they are likely to be a factor to be taken into consideration in determining the extent to which any penalties are to be abated in respect of other offences. A penalty will normally be sought only in serious cases, for example, where there has been a history of record-keeping failures or records have been destroyed deliberately to obstruct an enquiry. The amount of any penalty will depend on the nature of the offence.
The taxpayer has the right of appeal against the determination of any such penalty.
HMRC will investigate further back the more serious they think a case could be. If they suspect deliberate tax evasion, they can investigate as far back as 20 years. More commonly, investigations into careless tax returns can go back 6 years and investigations into innocent errors can go back up to four years.
So although there is no requirement to keep records longer, it is advisable to keep your paperwork for at least four years.
Gift Aid donations
Keep records if you:
If you’re claiming tax back through your Self-Assessment tax return or by asking HMRC to amend your tax code, keep records showing the date, the amount and which charities you’ve donated to.
Land, buildings and shares
For sales/donations of land, property or shares, you need to keep:
Gifts are not counted towards the value of your estate after 7 years. You should keep a list of relevant gifts made, with your will.
Well, we hope this helps, and happy organising!
Posted in: Tax Tips