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What is retention period?
Retention period means the time duration for which the data and information is kept and maintained. Once the period lapse, the information can be destroyed using any destruction method which is pre-determined by company. Information which is considered as usable can be retained for a longer period.
Benefits of minimum retention of accounting documents–
For the purpose of retention period there are some policies which are outlined regarding destruction of documents. To know these policies in details visit us 24*7assignmenthelp.com. We provide Retention Period of Accounting Documents assignment help.
Responsibilities regarding the documents– It is a responsibility of manager to handle management of documents and ensures implementation of policies regarding this. Consistency in following the practices must be maintained. The confidential documents must be properly filed and the access to it must be restricted.
Financial documents must be retained for three years from the date of its submission. There are two exceptions-
The documents which are received from external source must be retained for minimum period of seven years. There are some exceptions.
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