Sam is a responsible citizen and files his annual tax returns judiciously. What should he do with tax return documents that are more than three years old?


A) he should submit the documents to the local authorities

B) he should keep the tax returns in a safety deposit and shred the supporting documents

C) he should keep the documents with his attorney

D) he should submit the documents to the IRS For audit

Respuesta :

Answer: D) he should submit the documents to the IRS For audit

There is a 3-year rule for annual tax returns. The purpose is to be prepared in case of an audit, otherwise, documents three years from the date they were filed can be shredded.

Sam being a responsible citizen can also submit the documents to the IRS For audit.

Sam is being a responsible citizen who files his annual tax returns judiciously and hence he should submit the three old tax returns to the IRS for audit.

What do you know about IRS?

The Internal Revenue Service is the nation's tax series enterprise and administers the Internal Revenue Code enacted via way of means of Congress. The IRS manages audits both via way of means of mail or via an in-individual interview to check your records.

Hence, Option D is the correct statement.

Learn more about  Internal Revenue Service here:

https://brainly.com/question/18272497

#SPJ5