Financial documentation refers to the collection of records that provide evidence of financial transactions and activities. This includes documents such as invoices, receipts, bank statements, and tax returns. These records are essential for tracking income, expenses, and overall financial health, making it easier for individuals and businesses to manage their finances. Proper financial documentation is crucial for compliance with tax regulations and for making informed financial decisions. It helps in budgeting, forecasting, and preparing for audits. Maintaining organized financial records can also facilitate easier access to funding or loans from financial institutions.