I’m prepping my tax return and noticed a few business expenses don’t have receipts. I remember the costs, but I’m worried, will this be a problem?
Answer by: abdullah-al-naim
1 month ago
Missing a few receipts doesn’t mean you’re in trouble, but it does mean you’ll need to be smart. The IRS expects you to keep records, but they also accept “reasonable reconstruction” when receipts are genuinely lost.
Here’s what you can do:
* Use bank or credit card statements to show proof of the transaction.
* Write a quick note for context: what it was for, when, and why it was a legit business expense.
* For regular expenses (like monthly subscriptions), try to show a pattern.
Just don’t try to guess or overestimate; if it’s challenged, you’ll need to show consistency and logic. Need help sorting the gray areas? Business Globalizer\’s bookkeeping team can guide you through it so your deductions stay solid.
