What Receipts to Keep for Taxes When You're Self-Employed

If you're self-employed, keep every receipt or invoice that supports a business expense you claim, plus the records behind your income: sales invoices, payment platform reports and bank statements. Each expense record should show who you paid, how much, when, how you paid and what it was for. Keep records for assets (equipment, vehicles, property) and anything that touches more than one tax year separately and for longer.

Below is a practical checklist, then what a receipt needs to show and whether a scan can replace the paper. It's general information, mostly from US (IRS), UK (HMRC) and Canadian (CRA) guidance. It isn't tax advice, so check the rules for your country with your tax authority or an accountant.

Why receipts matter

Your tax return lists totals: total office expenses, total travel, total income. If the tax authority asks how you got those numbers, receipts and other supporting documents are your evidence. The IRS describes supporting documents as the source of the entries in your books, and says they should support the entries in your books and on your return.

So the test for any piece of paper is simple: does it support a number on my return? If yes, keep it.

The checklist: what to keep

Expenses you claim

• Receipts for business purchases: shop and till receipts, online order confirmations, emailed receipts.
• Supplier invoices, ideally marked paid or with matching proof of payment.
• Bills for business costs: phone, internet, rent for business premises, utilities (or the business share of them).
• Subscriptions and software: the invoice or billing email for each charge.
• Travel: transport tickets, hotel folios (the itemized bill, not only the booking confirmation), parking and tolls.
• Meals with a business purpose: the receipt plus a note of who attended and why. Meal rules are among the most restricted, and they vary by country.
• Vehicle costs: fuel, repairs, insurance, plus a mileage log if your country's rules need one.
• Fees: bank charges, payment processor fees, professional and accountant fees.

Income

• Your own sales invoices, numbered and dated.
• Platform and marketplace reports (payment processors, app stores, marketplaces, gig apps).
• Bank statements showing deposits.
• Any year-end income forms you receive.

Assets and long-lived purchases

• Purchase receipts for equipment, computers, vehicles and machinery.
• Records for property and improvements.

These usually need to be kept longer than ordinary receipts, because they affect depreciation or capital allowances, and the gain or loss when you sell. See how long to keep receipts for the US, UK and Canadian rules.

Proof of payment

• Bank and credit card statements.
• Canceled checks (US) or chequebook stubs (UK).
• Payment confirmations for transfers and online payments.

The IRS lists canceled checks, cash register tapes, account statements, credit card sales slips, invoices and petty cash slips among the documents for expenses. HMRC's list for the self-employed includes all receipts for goods and stock, bank statements, chequebook stubs, sales invoices, till rolls and bank slips.

What a receipt should show

A receipt that just says "Total 54.20" isn't much use. According to the IRS ("What kind of records should I keep"), supporting documents for expenses should identify:

1. The payee: who you paid.
2. The amount paid.
3. Proof of payment.
4. The date the expense was incurred.
5. A description of the item or service.

The IRS also notes that a combination of documents may be needed to cover all of these. A card statement proves payment but rarely says what you bought. A receipt says what you bought but may not prove how you paid. Together they make a complete record. We look at this in more detail in is a bank statement enough instead of a receipt?

If you're VAT- or GST/HST-registered and reclaiming tax on purchases, the invoice usually has to carry extra details (such as the supplier's registration number). Check your tax authority's rules for a valid VAT or GST/HST invoice.

Make vague receipts useful

Write the business purpose on the receipt, or in your spreadsheet, at the time. "Lunch, Bistro 9, 42.00" becomes "Lunch with client J. Smith, project kickoff". A short note now saves guesswork later.

Can a scan or photo replace the paper?

Often, yes, but with conditions. Here is what the guidance says in three countries:

• US: IRS Publication 583 says the same requirements apply to electronic records as to paper ones. An electronic storage system must keep records in a legible, retrievable form, and the original paper may be destroyed once the system meets the IRS requirements (set out in Revenue Procedure 97-22).
• UK (VAT): HMRC's VAT Notice 700/21 gives an example. If a business scans invoices and keeps the image, and the image contains all the detail required for VAT, the original doesn't need to be kept unless it's needed for another purpose. In contrast, just typing selected figures from an invoice into software is not a copy, so the original must be kept. Some documents, such as the C79 import VAT certificate, must be kept in their original form.
• Canada: the CRA says records can be paper, electronic or a mix, and it has detailed guidance for paper records converted to electronic form.

The practical takeaway is that a spreadsheet of numbers is not a substitute for the receipt itself. Keep a complete, legible image or PDF of each receipt alongside the spreadsheet. We cover the details in can you throw away receipts after scanning.

What you don't need to keep (for tax)

Purely personal receipts that don't support anything on your return aren't covered by tax record-keeping rules. That includes groceries, personal clothing and personal subscriptions. You might still keep them for warranties or returns. If an account mixes personal and business spending, keep the statements and mark which lines are personal.

A simple way to stay on top of it

1. Capture receipts weekly. Photograph paper receipts and file digital ones in one folder per tax year.
2. Log each one in a spreadsheet with date, vendor, description, category, tax and total. The full setup is in our guide to organizing receipts for taxes.
3. Match the spreadsheet to your bank statements monthly to catch missing receipts while they're easy to recover.
4. Hand your accountant both: the spreadsheet and the folder of images.

If you already have the images but not the spreadsheet, ReceiptBatch can turn a folder of receipts into one spreadsheet for your accountant. Each receipt becomes a row you can check and correct, and you keep the original images as the evidence.

FAQ

Do I need a receipt for every single expense?

You need evidence for every expense you claim. A receipt is the usual evidence, but some countries accept other records for certain small or hard-to-document expenses, and the rules differ. If you've lost one, try to get a copy from the seller, and record the purchase with your proof of payment.

Are email receipts good enough?

Generally yes. An emailed receipt or invoice that shows the vendor, date, amount and what was bought is a receipt. Save it as a PDF in your receipts folder so it doesn't depend on keeping that email account.

Should I keep receipts for things I paid for personally but use for work?

If you claim them as a business expense, yes. You'll also want a note on business versus personal use, because many countries only allow the business portion.

Is this tax advice?

No. It's general information drawn from IRS, HMRC and CRA guidance. Requirements vary by country, business type and situation, so confirm with a tax professional.