How long am I supposed to keep these tax records?

Good question, to which there seems to be no one answer or opinion, but always a disclaimer. It's understandable; the IRS will do what the IRS is going to do, and what you hang onto is all to do with your comfort level with that. So please consult your personal tax advisor with any doubts you may have as to what I'm about to share. I can say that, having used a professional tax preparation service for years, it's worth every penny. They keep me out of trouble, and their modest fees are almost always offset by what they keep me from overpaying.

The first thing you need to know is that your personal Federal income tax returns can be randomly audited only up to three years after the date you filed the return. So writes Consumer Reports.org in their February 2010 article entitled “Conquer the paper piles: What documents to keep, what you can toss—and when.” The article goes on to explain that if you are found to have under-reported more than 25 percent of your gross income, the government has six years to collect the tax or start legal proceedings. Therefore, the article advises keeping personal tax records for 7 years. The entire article is well worth reading and may be found at:

http://www.consumerreports.org/cro/money/personal-investing/conquer-the-paper-piles/overview/index.htm

A great deal more besides tax records are covered, including the efficacy of personal electronic document storage. Identity theft and crime in general are on the rise, making your personal documents a target like never before. Scanners don't cost much these days and neither do personal shredders. Having had my personal documents pawed over during a residential burglary last year, I wish I'd de-crapped it all long ago. It's not as if the scanner and shredder were taking up much space either. The unnecessary paper was taking up more.

Incidentally, cross-cut shreddings are not recyclable; it's something to do with the shortness of the fibers. Consider composting them as an alternative.