For small independent shops, how are transactions tracked for tax returns?
I often see a lot of small independent record shops that buy and sell records, often just offering cash for any records bought in. They don't give any receipt for purchases they make - so when it comes to sales and submitting a tax return, how is this tracked? Do they just start the day tracking the money in the till and compare it to the total at the end of the day?
I ask as I one day want to open my own business, but I've no idea how it all works and how to properly track it for a tax return, especially if items are bought and sold for cash in person.