client record retention period

[jmc]

Probably this is more of accouning issues but I need your advice.

My former client, who went to a different CPA two to three years ago, called me today and asked for general ledgers about eight years old. He said he has some IRS audit problem. If I can find them, do I have a liability issue? What is the required retention period for general ledgers/adjusting entries? Where can I find a good source specifying this retention-period issues? Thank you.

[Unregistered]

This is a good question. More than one governing agency could determine record retention. I would look to your state board of accontancy for guidance. I understand that there are requirements for a written policy under the Sarbanes-Oxley act and many states have their own requirement.

[veritas]

I pulled this from an article at cpa2biz.com


* Whenever the firm or its counsel learns that documents in its possession may relate to an ongoing or contemplated governmental investigation or pending or threatened private litigation (even if the firm is not directly involved), those documents should be retained and counsel should be consulted, even if the documents have not yet been subpoenaed. Under no circumstances should such documents be discarded or altered, even if they might be due for destruction under the firm's document retention/destruction policy.

[jmc]

even after CPAs returned documents to clients?

Thank you for good source.
Is the retention requirement extended even after CPAs returned documents including G/L to clients?