Small business answers — NOW!

Computer-generated records

Question
Should I use a computer for record keeping? 
Answer
Yes.

Computer-generated records save time and are generally more accurate than humans.

Also, the IRS accepts computer-generated records if they are legible and provide all the necessary information. You are required to keep a description of the computerized portion of your accounting system. You must keep this documentation as long as you keep the records themselves.

If you elect to use digital record keeping, be safe: Back up your digital files frequently, and print out and retain a copy or your monthly or quarterly results. 
Brain Trust contributor: Author of J.K. Lasser's Small Business Taxes 2007
Related Categories: Accounting, Finance, Taxes
© 2007, Small Business Network, Inc., All Rights Reserved.
Subject to the Terms of Use of AskJim.biz
Print this page   Bookmark this page   E-mail this page to a friend   Go back to previous page
AskJim ID: 991