The best way to avoid tax trouble is to accurately fill out and file your federal income tax return on time and pay any taxes that you owe. Always be as truthful as possible when reporting any information to the IRS, and save all relevant documentation for at least three years after the filing date.

It's a good idea not to throw away certain tax records in case you're audited in the future. Such records include anything related to your tax return, like W-2s (w-twos), 1099 (ten ninety-nine) forms, receipts, and canceled checks for deducted items, as well as all other relevant materials.