Legal Question in Tax Law in New Jersey

Lost Receipts

We moved and the movers lost 2 of our boxes. Our tax records were in one of them. I have records of my returns on my computer, but not the receipts. What if I'm audited? Some are for large amounts for home renovations. I've tried to get copies from the contractors, but no luck. Could show before and after photos to prove the work was done? I don't know what to do?


Asked on 1/17/07, 12:34 pm

1 Answer from Attorneys
Walter LeVine Walter D. LeVine, Esq.

Re: Lost Receipts

Since you are not being audited, this might not be a problem now. If you have cancelled checks, they might suffice, even if there are no receipts, plus the pictures. Also, if the improvements were made to your personal resience, there is an exclusion of profit on resale ($250,000 for a single taxpayer and $500,000 for joint return filers), so this may help as well, even if you cannot "prove" actual total costs. Unless you filed a fraudulent return, you need only keep records for 4 years (current and 3 preceding), so the passage of time may make the loss of other receipts not as important, especially if you have the checks you issued.

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Answered on 1/17/07, 1:05 pm


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