Unclaimed property audit fallacies and myths - The Tax Adviser 2025

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California Unclaimed Property Law Specifics Interest is assessed at a rate of 12% of the value of the property per year, from the date the property should have been reported. Penalties and/or fines up to $50,000 may be assessed. A review generally covers a 13-year period: 10 years plus dormancy.
The most common types of unclaimed property are: Bank accounts and safe deposit box contents. Stocks, mutual funds, bonds, and dividends. Uncashed cashiers checks and money orders. Certificates of deposit. Matured or terminated insurance policies. Estates. Mineral interests and royalty payments.
0:14 1:14 However this process can be complicated. And may require legal assistance.MoreHowever this process can be complicated. And may require legal assistance.
0:39 1:54 This is because it is seen as a return of your own. Money. Its crucial to report the income earnedMoreThis is because it is seen as a return of your own. Money. Its crucial to report the income earned from unclaimed property on your tax. Return failure to do so can result in penalties.
0:10 1:15 Them unclaimed property laws vary by state but most require businesses to report abandoned assets toMoreThem unclaimed property laws vary by state but most require businesses to report abandoned assets to the state. The state then tries to locate the owner.

People also ask

The official unclaimed property division has existed for more than 40 years. Its totally legit.
Unclaimed property is tangible or intangible property that becomes dormant for a legislatively defined period of time, typically three years. For a corporation, this can include uncashed payroll checks, vendor checks, insurance proceeds, the unused portion of company gift cards, etc.

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