Un-Claimed Property Reports
Effective as of July 2, 2018
This is report itemizes unclaimed assets (tangible or intangible) in your business's possession.
Among the most frequently noted unclaimed assets are uncashed payroll checks and vendor checks.
However, this list also expands to include:
- checking/saving accounts
- uncashed dividends
- insurance payments/refunds, and
- property in security deposit boxes.
Any of the above items are considered 'unclaimed' after being dormant for a specific period of time. This time period varies by State, but for Michigan, the average is 3 years.
- Payroll Checks =
Dormant/Unclaimed after (1) year
- Vendor Checks = Dormant/Unclaimed after (3) years
(For more information regarding the specifications about the types of properties which should be listed, along with their respected dormancy time frames, please review the Michigan Manual for Reporting Unclaimed Property, Chapter 2 Reporting for Specific Property)
For those filing a zero report, it is not mandatory that you file annually. However, is it still strongly suggested in order to reduce the chances of being audited.
- Any property considered abandoned as of 03/31/2018 must be reported on Form 2011 and Form 1223 by 07/02/2018.
- Anyone filing a zero or negative report must also have their
report in by 07/02/2018
- For those who are found to have unfiled, abandoned property will be charged a $100
penalty every day the report is not filed (up to $5,000).
- Additionally, a penalty of 25% of the specific property value will be assessed
on all property which was not properly documented. This payment is also subject
to additional interest if the property is not paid for or delivered within a specific