The mid-west tornados and NOAA
predictions for an active Atlantic hurricane season this year are big warning
signs that severe weather may come to your area this summer. With a few simple steps, individuals and
businesses can protect financial and tax records in case of a natural disaster.
Keep paperless records:
Many banking institutions offer documents and statements
electronically. Records such as W-2s, tax
returns, and other documents can be scanned into an electronic format. Keep a USB drive back up of this information
just in case any hard copy files are destroyed in the disaster.
Document Valuables for Insurance:
The IRS recommends that taxpayers photograph or videotape the contents their
homes or businesses before the storm. This
can help an individual prove the market value of items for insurance and
casualty loss claims.
Keep emergency plans updated:
Review your family or business emergency plan annually. Individual taxpayers should make sure they are
saving documents like W-2s, home closing statements and insurance records in
safe places. When employers hire new employees or when a company or
organization changes functions, plans should be updated accordingly and
employees should be informed of the changes.