A sole$-$proprietor runs his business and reports and pays the wages and withholdings for his employees. After three $(3)$ years he discards the records of both his expenses and these employment taxes. Why is this an issue?

Select one:

a$.$ There isn't an issue. After three $(3)$ years the taxpayer is free to discard whichever records he desires.

b$.$ There is an issue, and the issue is primarily that employment tax records must be kept for four $(4)$ years. The record of expenses being expunged after three $(3)$ years is fine, however, at least according to statute.

c$.$ There isn't an issue because the IRS has the burden of proof to contest anything they don't believe is legitimate.

d$.$ There is an issue, and it's because the records must be kept indefinitely.