PART 5. TAXPAYER RESPONSIBILITY AND DISCRETIONARY
AUTHORITY
R 205.4110 Taxpayer responsibility and discretionary authority
Rule 10. (1) To meet the requirements of part 2 of these rules, a taxpayer may
create files solely for the use of the department. For example, if a data base management
system is used, the taxpayer may create and retain a file that contains the transaction-
level detail from the data base management system and that meets the requirements of
part 2 of these rules. The taxpayer shall document the process that created the separate
file to show the relationship between that file and the original records.
(2) A taxpayer may contract with a third party to provide custodial or
management services of the records. The contract shall not relieve the taxpayer of its
responsibilities under these rules.
History: 1998 - 2000 AACS.
PART 6. ALTERNATIVE STORAGE MEDIA
R 205.4111 Alternative storage media
Rule 11. (1) For purposes of storage and retention, a taxpayer may convert hard-
copy documents received or produced in the normal course of business and required to be
retained under these rules to microfilm, microfiche or other storage-only imaging
systems and may discard the original hard-copy documents, provided that all other
requirements of these rules are met. Documents which may be stored on these media
include, but are not limited to, general books of account, journals, voucher registers,
general and subsidiary ledgers, and supporting records of details, such as sales invoices,
purchase invoices, exemption certificates, and credit memoranda.
(2) Microfilm, microfiche, and other storage-only imaging systems shall meet the
following requirements:
(a) Documentation establishing the procedures for converting the hard-copy
documents to microfilm, microfiche or other storage-only imaging system shall be
maintained and made available to the department at the department's request. The
documentation shall, at a minimum, contain a sufficient
description to allow an original document to be followed through the conversion
system as well as internal procedures established for inspection and quality assurance.
(b) Procedures shall be established for the effective identification, processing,
storage, and preservation of the stored documents and for making them available for the
period they are required to be retained under R 205.4113.
(c) At the department's request, a taxpayer shall provide facilities and equipment
for reading, locating, and reproducing any documents maintained on microfilm,
microfiche, or other storage-only imaging system.
(d) When displayed on such equipment or reproduced on paper, the documents shall
exhibit a high degree of legibility and readability. For this purpose, legibility is defined
as the quality of a letter or numeral that enables the observer to identify it positively and
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