Reporting unclaimed property in Indiana? If so, pay attention! Today, February 28, 2011, is the deadline for unclaimed property reports under the Indiana Amnesty Program. Early last fall, the Office of the Indiana Attorney General instituted a one-time only unclaimed property amnesty program to help organizations holding unclaimed property come into compliance with the Unclaimed Property Reporting Act, without consequence of accrued payment and applicable penalties. Holders wishing to participate in this program had to have enrolled by October 31, 2010.
Holders whose reports are not postmarked with today’s date will receive a penalty notice from the state for $5,000, with interest accruing daily until the report is received. If your organization falls into the category of holders that cannot meet today’s deadline, you do have the option of submitting an estimated payment (25 percent of potential liability) along with an explanation of work performed to date and a written request for one final extension. Each of these requests will be reviewed on a case-by-case basis – but if there appears to be a “good faith effort” on the part of the holder both in calculated liability and project summary, a 60-day extension will be given.
Stipulations of Indiana Uncalimed Property Reporting Extensions
If you are going to file for one final extension, make sure you don’t miss the next deadline. Keep in mind, that a holder who knowingly or intentionally fails to pay or deliver property to the attorney general as required, shall pay an additional civil penalty equal to ten percent of the value of the property that must be paid.
In addition, the holder will have to pay interest on top of the penalty fees. A holder that fails to pay or deliver the property within the time required must pay interest for the entire time they are delinquent. Interest will accrue at the following rates:
- The annual interest rate for a period of one year or less after the time required for payment or delivery of the property is the one year Treasury Bill rate published in The Wall Street Journal, or its successor, on the third Tuesday of the month in which the remittance was due, plus one percentage point.
- The interest rate for each year after the initial year is the one year Treasury Bill rate published in The Wall Street Journal, or its successor on the third Tuesday of the month immediately preceding the anniversary, plus one percentage point.
The lesson to be learned is that you will pay high fees if you don’t take this time to come into compliance. If you signed up for the Indiana Amnesty Program last fall, take advantage of it and make sure you complete the required steps needed to ensure full compliance with Indiana unclaimed property reporting.
Go back to the Keane Unclaimed Property Corporate HOMEPAGE