In Canada, it is important to understand the proper procedures for retaining and storing your records. This information covers:

• Where to store your records
• Where to store your records
• How long to keep your records
• How to request permission to destroy your records before their retention period is up

When it comes to where to store your records, they should be kept at your place of business or residence in Canada. However, if you have been given written permission by the Canada Revenue Agency (CRA), you may keep them elsewhere. It is important to note that records kept outside of Canada and accessed electronically from Canada are not considered to be records kept in Canada. Certain entities, such as registered charities and Canadian municipalities, are not eligible for permission to keep records outside of Canada. If you would like permission to keep your records elsewhere, you can write to your tax services office and they will provide written permission with any terms and conditions specified.

When it comes to how long to keep your records, generally you must keep them for six years from the end of the last tax year they relate to. The tax year is different for corporations, individuals, and trusts. There are some situations where you must keep your records for a different period of time, such as indefinitely for long-term acquisitions and disposals of property. If the CRA requires you to keep your records for longer than six years, they will inform you either in person or by registered mail.

If you need to destroy your records before their retention period is up, you can request permission from the CRA by filling out the appropriate form and sending it to your tax services office. For more information on electronic record keeping, you can refer to Information Circular IC05-1 and GST/HST Memorandum 15.2.