In the context of accounting, a "source document" is any form of paper record that is produced as a direct consequence of a financial transaction, and as a result, is evidence that the transaction has taken place.
Accounting source documents come in many different forms fior example:
It is extremely important to keep all Accounting Source Documents and maintain a filing system where they can easily be found when required. Failure to maintain strict filing processes can be very costly in time wasted.
Accounting source documents are required for:
The number of years that Accounting Source Documents must be kept differs from state to state, nation to nation, but it is often the case that the minimum period is 5 years.