The Importance of Shredding Tax Documents
With identity theft and other scams on the rise, it’s no secret that keeping your data safe is more important than ever. One way to keep your sensitive information safe is by keeping important documents under lock and key and destroying paperwork after it’s no longer needed. While you may shred certain paperwork regularly, some may think they need to hold onto tax documents for seven years or more. That isn’t the case because once an electronic copy is made of your forms, there is no reason to keep a hard copy for your records.
Shredding tax documents helps protect you from identity theft and fraud. If someone gets their hands on your tax documents, they could use your personal information to steal your identity or commit fraud. Shredding your tax documents also keeps your personal and financial information private and away from scammers.
Finally, shredding tax documents helps to keep your home clutter-free. Excessive paperwork can build up over time and, before too long, can lead to over-stuffed filing cabinets and mounds of important paperwork lying exposed for anyone to find.
How to Shred Tax Documents
The best way to shred tax documents is to use a paper shredder. Shredders come in various sizes and capabilities, and small, personal shredders are perfect for shredding a few tax documents. However, large commercial shredders can handle a whole stack of papers at once for more significant paperwork like those used in medical offices and other businesses.
Be sure to follow the manufacturer’s instructions, no matter the style or type of shredder you use. This will help avoid accidents and ensure that your documents are properly shredded. Additionally, the easiest way to ensure your documents are correctly shredded is by partnering with a company utilizing mobile shredding trucks in Houston.
Tips for Shredding Tax Documents
Now that you know what documents to shred and how important shredding them can be to your business, here are a few tips to make the process as simple as possible:
- Start with a small stack of documents – Shredding a small stack will help you get a feel for the process and avoid overloading the shredder.
- Shred documents that are no longer needed first – This helps to clear out space and make it easier to find the documents you need to shred.
- Be sure to shred both sides of the document – This helps prevent anyone from piecing the document back together.
- Always check with your CPA, Tax preparer, or tax attorney to determine what record retention guideline is right for you and shred old records on that schedule.
After shredding, be sure to dispose of the shredded paper properly. Don’t just leave it in the shredder or in a pile on the floor!
Ready to Shred Those Old Tax Documents?
PROSHRED® of Houston is a locally-owned world leader in on-site document shredding, hard drive destruction, and anything of a proprietary nature. We serve large businesses and home clients every day to securely destroy sensitive data, protect their public image, and comply with state and federal data safety compliance laws. Shredding your tax documents is the best way to keep your information safe and secure. Contact us today to learn more about our services, and let us get to work for you!