Based on CRA requirements you should be keeping receipts & records and supporting documents at your place of business or your residence in Canada for a period of six years from the end of the last tax year they relate to.
You are required by law to keep records if one or more of the following situations apply:
- You operate a business in Canada
- You have to file an income tax return (i.e. corporate or personal)
- You have to file a GST return
- You filed for a GST rebate
- You have a trust
Note: The above are the most applicable situations. CRA’s webpage provides a more comprehensive list.
CRA considers records to be accounting and financial documents that summarize information from supporting documents. The following are examples of accounting and financial documents:
- Financial statements
- Statement of accounts
- Income tax returns
Supporting documents are documents that support the transactions in your records. The following are examples of supporting documents:
- Sales invoices
- Purchase receipts
- Bank deposit slips
- Bank statements
- Cancelled cheques
We highly recommend that you use Quickbooks Online to keep track of your books as well as the app, Receipt Bank (now Dext), to go paperless and keep track of every receipt you receive. CRA does accept a pdf copy of a receipt as well as the original. However, once you make a pdf copy you should destroy the original.
If you would like more information or have any questions, feel free to contact us at 780.466.6204, or click here to send us an email.