Creative Record Keeping


In a December 2017 tax court case in Canada, the taxpayer was asked to supply documentation for his expenses. The court record states:

…..In the course of the audit of the Corporation, the Appellant was asked to provide records to show the amount of the expenses which he said he had incurred for the Corporation. He gave the auditor three grocery bags of unsorted receipts. When he was asked to organize the receipts into some sort of coherent order, he said that he was unable to do so. The Appellant admitted in cross-examination that his record keeping was “shoddy”.