Have Tax Questions? Ask a Tax Expert for Answers ASAP
Hi.You need to keep records of all your income and expenditure, whether the transactions are in cash or by cheque or bank transfer. If you make a payment to another person in relation to your business, if they won't give you a receipt or an invoice, keep a note of the payment, their name and the nature of the payment in your diary or whatever form you keep your business records in, a computer spreadsheet for example. Make notes on your bank statements and keep cheque stubs. I hope this helps but let me know if you have any further questions.