What is the risk if my dealership doesn’t report unclaimed property?
We are aware that the UPD has recently distributed notices to auto dealers that have significant activity in the state, regardless of the company’s state of commercial domicile. These notices inform dealers of the opportunity to file past due reports and pay amounts due for the last 4 years without interest or penalties. The UPD has also stated their intent to increase the number of unclaimed property audits. If selected for audit, the UPD can look back for a period up to 10 years and assess penalties up to 25 percent of the value of the property that should have been reported by the dealer, plus interest.
