Tips to Reconstructing Records

Tips to Reconstructing Records -Image of destroyed house - Tax Time is Here...Do You Have Your Destroyed Records from the last Disaster

 Tips to Reconstructing Records. Do You Have Your Destroyed Records from the most recent disaster?

The time and work recovering from a natural disaster can be extremely stressful and potentially devastate a small business. When you consider the loss of income, damage to facilities/equipment, and the loss of business records, a company can fold if the issues aren’t addressed timely. Many business owners might need to reconstruct records to prove a loss. The documentation may be essential for tax purposes, federal assistance, or insurance reimbursement.

 5 Tips to Reconstructing Records:

  • Request your federal tax-return information for the four previous years to help reconstruct tax records.
  • Business owners can get copies of last year’s federal, state, and local tax returns, which include sales tax reports, payroll tax returns, and business licenses from the city or county.
  • Make a list of all inventory lost during the disaster. In addition, you should contact your vendors for copies of invoices that date back at least a year.
  • Owners should check their cell phones or cameras for pictures and videos of their building, inventory, and equipment.  These items should have been memorialized in a photo or video before the weather event.
  • Pictures. You can sketch an outline of the inside and outside of their location. For example, inside the building, you can draw out where equipment and inventory were located. For the outside of the building, they can map out the locations of items such as shrubs, parking, signs, and awnings.

We hope this list helps you and your business. If you have any questions or would like more information, please call the IRS Disaster Assistance Hotline Monday through Friday from 7 a.m. to 10 p.m. local time at 1-866-562-5227. Should it become necessary, contact FEMA for disaster assistance.

SFS Tax & Accounting Services is here to help you should a disaster hit. If you need to file your extended tax return, call us today at 772-337-1040 for an appointment.

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