Unclaimed Property in New York
If you’ve been charged with the responsibility of your New York company’s escheatment reporting you’ve been ticketed with a daunting task. New York State unclaimed property laws are anything but simple. In New York, all forms of unclaimed property (e.g. uncashed deposits, dividend checks, back wages, rebates, and more) are handled by the New York State Comptroller’s office (SCO).
Companies holding property that is due to another party (“Holders”) should be made conscious that the property is generally presumed abandoned by New York if there has been no activity in the account for a set duration of time, usually between two and five years.
New York businesses must perform a due diligence effort by sending written notices to the owner of the unclaimed property. If the owner cannot be contacted and the property remains unclaimed, you have a legal obligation to report, file, and remit the funds to the New York State Comptroller.
What happens if I Neglect to Report?
Risks of noncompliance with unclaimed property rules and laws include valuations of liability for non-reporting or alleged late reporting of abandoned property. Furthermore, in New York state, interest and penalties associated with non-compliance may result in substantial fines, penalties, and compounded interested on what’s owed from previous years. If you are late delivering your abandoned property report, the New York State Comptroller may charge you a late filing fee. Interest is 10 percent per year from the date payment or delivery was due to the date you remit payment.
Annual Unclaimed Property & Escheat Reporting Assistance
Many states across the country utilize unclaimed property as an additional source for state revenue. In tough economic times, New York businesses realize now, more than ever before, the tremendous value in outsourcing their annual escheat reporting to an unclaimed property expert like Keane. Our reporting services allow your organization to ensure compliant, accurate, and timely required mailings and filings for less than it costs to utilize internal staff resources.
The annual unclaimed property reporting process can be challenging, burdensome, and time-consuming – but it doesn’t have to be. By partnering with Keane for annual New York unclaimed property reporting and remittance services, your corporation will be more empowered to address unclaimed property laws and regulations efficiently and effectively, knowing that you’re backed by the undisputed leaders in the industry.