Income, Expenses & Others



Records of Income
You should keep the following records of your income:

  • Tax invoices, if you are registered for GST and invoicing a customer/client or another GST-registered person (see an illustration of a tax invoice containing the necessary information for tax purposes)

  • Other invoices, e.g, for supplies of $50 or less, which do not require a full tax invoice even if you are registered for GST

  • Credit card sales, keeping all copies of the vouchers and voucher schedules

  • Debit notes, which you must send to your customers (clearly marked as a "debit note") if the price of your goods/services increases after you issue your original invoice

  • Credit notes, which you must send to your customers (clearly marked as a "credit note") if the price of your goods/services decreases after you issue your original invoice

  • Cash register tapes for businesses that make many cash sales and therefore are not required to issue tax invoices for each sale. All cash sales should be recorded on the tape.

You must keep these records for 7 years from the year that they were created.

If you are storing records on a computer, you must continue to keep all relevant paper records. Also take care to keep adequate back-up copies of your important electronic records. Electronic records must also be kept for 7 years.


Records of Expenses
The records of your expenses should include:

  • invoices for purchases of more than $50, which you must receive when you buy goods or services on credit for the business

  • evidence of payment (e.g, invoice, cash sale docket, till receipt) for purchases of $50 or less, if you wish to claim the expense for tax purposes

  • evidence of credit card purchases, including credit card vouchers, payment receipts and monthly statements. Also keep the invoice issued at the time of purchase.

You need to keep these records for 7 years from the year that they were created.

If you are storing records on a computer, you must continue to keep all relevant paper records. Also take care to keep adequate back-up copies of your important electronic records.

Note: an EFTPOS transaction record is insufficient on its own as a record of a transaction.