Good records protect you at tax time and beyond. This guide explains what to keep, how long to keep it, and why digital records are now the norm.
Published July 2026 · Updated July 2026
Keep evidence of income (invoices, bank records), expenses (receipts, bills), and anything that supports figures on your tax return, plus records of assets and, if VAT registered, your VAT records.
As a rule of thumb, keep business records for at least six years. Some situations, such as capital assets or late filings, mean keeping them longer. Companies have their own retention rules too.
Making Tax Digital requires digital records for VAT already, and for Income Tax as it phases in. Digital records are easier to search, back up and file from, so there is little reason to stay on paper.
If HMRC queries your return, records are your evidence. Good record keeping means you can claim everything you are entitled to and prove it, with none of the year-end panic.
Yes. Digital copies of receipts and records are generally acceptable and are required for Making Tax Digital.
Reconstruct what you can from bank records and note the details. Consistent gaps, though, weaken your position if HMRC asks.
At least six years from the end of the accounting period, and longer in some cases. Check the current HMRC guidance for your situation.
This guide is general information for UK small business owners, not accounting, tax or legal advice. Rules, rates and thresholds reflect 2026/27 and change over time; always check the linked official source or a qualified adviser for your situation.