Unclaimed Property
Unclaimed Property Compliance: Safeguarding Our Business
This standard provides a framework for preventing the accumulation of material liabilities, ensures compliance with varying state regulations, and protects our organization’s financial interests. It promotes consistent practices across all business units, reducing the risk of penalties and reputational damage associated with improper handling of unclaimed property.
Who: President, Finance Leader
Frequency: Annually
Key aspects include:
1. Identification Procedures: determine guidelines for recognizing and classifying unclaimed property.
2. Due Diligence Processes: Define steps for attempting to locate and notify rightful owners of unclaimed assets.
3. Reporting Requirements: Identify a process for accurate and timely reporting of unclaimed property to appropriate authorities.
4. Record Keeping: Ensure comprehensive records of unclaimed property and related actions are maintained.
5. Escheatment Processes: Transfer unclaimed property to state authorities when required.
6. Training Programs: Educate relevant staff on unclaimed property laws and procedures.
7. Audit Preparedness: Measures readiness for potential unclaimed property audits.
