Unclaimed property is tangible or intangible property that becomes dormant (unclaimed) for a specific period of time. This property can include items such as bank accounts, vendor checks, insurance proceeds, payroll checks and unused gift cards, among others. All states have imposed obligations regarding unclaimed property compliance, such as dormancy periods and audit procedures. After the expiration of the dormancy period, state law requires the holder to escheat, or remit, the unclaimed property to the state that administers the unclaimed property law based on a set of rules established through U.S. Supreme Court case law.
While unclaimed property is not a tax, there are numerous compliance considerations, including accurately reporting unclaimed property. Under audit, holders of unclaimed property could be subject to significant liabilities, interest and penalties that can result from periods of noncompliance. Our unclaimed property team has risk mitigation, process improvement and controversy resolution experience to help you manage your exposure to risk. We provide:
Tax news and insights that are important to you—delivered weekly to your inbox
