Record retention periods
How long HMRC requires records to be kept, and the retention rules that differ for self employed, landlords, and companies.
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How long do you need to keep tax records?
Self-employed people and landlords: at least five years after the 31 January filing deadline for the tax year in question. Limited companies: at least six years from the end of the financial year the records relate to. Individuals with no business income: at least 22 months after the end of the tax year.
These are minimums set out by HMRC. In practice we advise treating six years as the working rule for anyone in business — it covers every common case and removes the guesswork.
When the clock runs longer
Three situations extend the retention period. If you filed late, keep records until HMRC can no longer open an enquiry. If an enquiry or compliance check is open, keep everything until it closes. And if a record covers something spanning multiple years — equipment, property, a loan — keep it for the life of the asset plus the normal period.
Property is the clearest example. The purchase records for a rental bought in 2015 are still live documents, because they set the base cost for Capital Gains Tax whenever you sell.
VAT and payroll records
VAT records generally need keeping for six years. PAYE records need keeping for three years after the end of the tax year they relate to, though the six-year habit covers these too.
If a record serves two purposes — a purchase invoice that supports both your VAT return and your accounts — the longest applicable period wins.
Storing records without risk
Digital storage is fine, and safer than paper if it is backed up. One copy on one laptop is not a system. Cloud bookkeeping software plus a document store covers most businesses; the point is that a fire, a failed hard drive, or a house move should not be able to delete your tax position.
Our clients' records live in the Evidence Pack inside Compliance Vault™ — retained, organised, and retrievable for as long as the rules require.
Frequently asked questions
Can I throw paper away after scanning it?
Generally yes. HMRC accepts digital copies for most records, so once a clear, complete scan exists and is backed up, the paper can go. A small number of documents are worth keeping in original form, such as anything with a wet-ink signature you may need to rely on.
What if I filed my return late?
The retention period extends. Keep the records until the enquiry window that runs from your actual filing date has closed, rather than counting from the normal deadline. When in doubt, keep the records — storage is cheap and reconstruction is not.
How long should I keep property purchase records?
For the whole time you own the property, plus the normal retention period after the tax year of sale. Purchase costs, improvement invoices, and selling costs all feed the Capital Gains Tax calculation, however long ago they were incurred.
What if my records were lost or destroyed?
Tell HMRC when you file, and reconstruct what you can — banks, suppliers, and letting agents can reissue most documents. HMRC distinguishes between records that are provisional because of genuine loss and records that never existed.